Hatsun Agro Slips Over 2%; Board Approves Bonus Share Issuance

Shares in Hatsun Agro Products in Tuesday's deal (October 20, 2020) traded lower by 1.39 percent at Rs. 838.40 per share on the BSE. On Monday, the board of the company recommended issuance of bonus shares as well as came up with the proposal to raise funds via QIP or Qualified Institutional Placement (QIP).

The stock of the company went down by as much as 2.6 percent to day's low of Rs. 827.45.

The company in an exchange filing said, "The board recommended for the issuance of bonus shares of the company in the ratio of 1:3 - 1 new bonus equity share of Re 1 each fully paid up to be issued for every three existing equity shares of Re 1 each fully paid up held by the shareholders on the record date, which is December 3, 2020, subject to the approval of the shareholders".

For the September ended quarter, the firm into dairy business posted a net profit of Rs. 65.79 crore in comparison to just Rs. 25.24 crore reported in the same quarter a year back. The company's revenue rose 3.79 percent YoY to Rs 1,327 crore from Rs 1,278.55 crore.

Also at the same time, the company allowed to put to use the company's reserves and surplus to the tune of Rs. 16,16,72,492 and issue the approved bonus shares, while increasing the paid up equity from Rs 16,16,78,826 to Rs 21,55,63,323.

At 11:41 am, Hatsun Agro shares were down close to 0.97% at Rs. 842 per share on the BSE against previous close of Rs. 850.25 on the BSE.

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