Paushak Share Price In Focus To Issue 2:1 Stock Split And 3:1 Bonus

Speciality chemicals manufacturer Paushak Ltd has come under market spotlight after announcing major corporate actions in its board meeting on August 11, 2025. The company approved both a 2:1 stock split and a 3:1 bonus issue, a move aimed at rewarding existing shareholders and enhancing market liquidity.

Details Of The 2:1 Stock Split

Paushak will subdivide one equity share of face value ₹10 into 2 equity shares of face value ₹5 each. This will increase the authorised equity share capital from 90 lakh shares of ₹10 each to 4 crore shares of ₹5 each.

Following this split, the paid-up capital will double from 30,82,114 shares of ₹10 each to 61,64,228 shares of ₹5 each. The company stated that this measure is intended to encourage wider participation from public shareholders by making its shares more affordable.

Bonus Issue In Ratio Of 3:1

Alongside the stock split, Paushak has declared a bonus issue in the ratio of 3 equity shares of ₹5 each for every 1 equity share of ₹5 held as on the record date. This will result in 1,84,92,684 bonus shares being issued, increasing the paid-up capital from 61,64,228 shares to 2,46,56,912 shares.

The bonus issue will be funded from ₹9.25 crore taken out of free reserves, which stood at ₹359.64 crore as of 31 March 2025, including ₹3.14 crore in capital redemption reserves.

Completion Timeline

Paushak expects to finalise both the stock split and bonus issue on or before October 10, 2025, subject to obtaining the necessary approvals.

Paushak Share Price Performance 

Paushak share price was trading lower by 0.16% at ₹5,997.95 as of 2:58 PM on August 13.

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Conclusion 

These corporate actions are set to significantly increase the number of shares held by investors while maintaining overall investment value. Market participants will be watching closely to see how the Paushak share price responds as the completion date approaches.

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