Bonus Shares in December 2023

A bonus issue is a corporate action in which a company distributes additional shares to its existing shareholders, without any additional cost, based on their current shareholdings. These bonus shares are issued in proportion to the number of shares a shareholder already owns. 

The objective behind the bonus issue is to typically issue bonus shares to capitalise on their profits or reserves. The company’s share capital increases without affecting its overall financial position or cash reserves by converting accumulated reserves or retained earnings into additional shares.

The company’s shareholders do not have to pay any additional money to receive bonus shares. The bonus shares are issued as a form of a dividend in the form of shares rather than cash.

List of Bonus Issues in December 2023

Pooja Entertainment and Films Ltd

Pooja Entertainment and Films Ltd is a part of Pooja Group, promoted by Mr Vashu Bhagnani. The company is involved in the entertainment and film business through co-production, own production and distribution of films in India through music release, theatrical distribution, DVD and VCD release, television licensing and other new media distribution avenues.
Key metrics:

• Market Capitalisation: ₹186 crore
• Stock Price 5Y CAGR – 49%

Dhyaani Tile and Marblez Ltd

Dhyaani Tile and Marblez Ltd is engaged in the business of trading commodities, vitrified tiles, ceramic items, security investment and trading. It has a warehouse and physical store in Ahmedabad, where its tile products are traded. It sells tiles and marble for any requirement in a home, viz. floor and wall tiles, bathroom tiles, mosaics and borders, kitchen and outdoor, stairwells and balconies.
Key metrics:

• Market Capitalisation: ₹13.4 crore
• Stock Price 5Y CAGR: –

Alphalogic Industries Ltd

Alphalogic Industries is engaged in the designing, manufacturing, supply and installation of industrial and institutional storage systems, i.e. compactor storage systems, heavy-duty storage racks, cantilever racks, lockers, mezzanine floors, metal pallets and crates.
Key metrics:

• Market Capitalisation: ₹181 crore
• Stock Price 5Y CAGR: –

Benefits of Bonus Issue

• One of the primary benefits of a bonus issue is that it increases the number of shares held by investors without requiring them to spend additional money. 
• Bonus issues can enhance the liquidity of a company’s shares in the market. When more shares are available to trade, it can lead to increased trading activity, potentially making it easier for investors to buy or sell shares.
• A company that issues bonus shares may become more attractive to new investors who perceive the increase in shares as a positive development. This can potentially lead to an increase in demand for the company’s shares.

Conclusion

Bonus issues have the capability to enhance your portfolio with numerous benefits. These advantages include an increase in ownership, growth in liquidity, etc. If yes, open your free demat account with Angel One and buy the bonus share of your choice today!

Disclaimer: This article is written for educational purposes only. The securities mentioned are only examples and not recommendations.