IGL Share Price in Focus: Bonus Issue To Be Approved in Upcoming Board Meet

On Wednesday, December 4, 2024, the leading City Gas Distribution player Indraprastha Gas Limited (IGL) through an exchange filing announced that it would consider the issuance of bonus shares in an upcoming Board meeting, which has been scheduled for December 10, 2024. In addition, IGL has announced that the trading window for dealing in its shares will remain closed from December 4, 2024, until 48 hours after the board meeting outcome is declared.

First Bonus Share Issuance

As per the data available on BSE, this will be IGL’s first issue of bonus shares to its shareholders. The record date for the IGL bonus issue has not been determined yet. Back in 2017, IGL executed corporate action, i.e., a share split into a ratio of 1:5. Currently IGL shares possess a face value of ₹2 each.

As of the end of the September 2024 quarter, the promoters of Indraprastha Gas hold a 45% stake in the company.

IGL Latest Business Update

• Reduction in Gas Allocation: Last month, IGL announced a 20% reduction in domestic gas allocation, effective from November 16, which followed a similar reduction in October. This change is expected to significantly affect IGL’s operations, especially its ability to meet Compressed Natural Gas (CNG) sales volumes.
• Increase in Gas Price: On November 25, IGL increased gas prices by ₹1.5 to ₹4 per kilogram in various regions. However, no price hike was applied in Delhi, where 70% of the company’s volumes are generated.

About IGL Limited 

Indraprastha Gas Limited (IGL) is engaged in the city gas distribution (CGD) business in the National Capital Territory of Delhi. IGL also supplies the gas to the nearby regions of Noida, Greater Noida, Ghaziabad, Hapur, Gurugram, etc.

On December 5, 2024, Indraprastha Gas shares opened at ₹374.80 and touched the day high of ₹374.80 at 09:30 AM.

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. It is based on several secondary sources on the internet and is subject to changes. Please consult an expert before making related decisions.