Usha Financial Services Board Announces 1:1 Bonus Issue

In a significant development, Usha Financial Services Limited (UFSL) has announced a series of corporate actions following its Board Meeting held on 7th July 2025. The key highlights include a 1:1 bonus issue, a substantial increase in authorised share capital, and reappointments of independent directors, alongside several related-party transactions and financial planning decisions for FY 2025–26.

Usha Financial Services Bonus Issue Details

The board approved the issuance of bonus shares in the ratio of 1:1, meaning shareholders will receive one additional equity share for every existing share held. The total number of bonus equity shares to be issued is approximately 2,17,37,631, with a face value of ₹10 each. Post-issue, the paid-up share capital will rise from ₹21.73 crore to ₹43.47 crore.

The bonus shares will be issued from the company's audited free reserves as of 31st March 2025, which include ₹17,691.9 lakhs. These shares are expected to be credited or dispatched by or before 6th September 2025, subject to necessary approvals.

Additionally, the board approved an increase in authorised share capital from ₹26 crore to ₹44 crore, aligning with the company’s expansion plans and financial flexibility for future growth.

Reappointments and Governance Highlights

Mr Pankaj Jain was reappointed as an Independent Director for a further one-year term. He brings deep expertise from his experience as CEO at Logix Group, with leadership in due diligence, financial reporting, and capital raising over ₹10,500 crore.

Mrs. Nimisha Jain was also reappointed for a two-year term. She previously led the IPO listing of the company in October 2023 and is experienced in regulatory compliance, board facilitation, and statutory reporting. Her background includes roles at TCS, HCL, and advisory positions for corporate governance.

The board also approved limits for the issuance of non-convertible debentures for FY 2025–26 and multiple related-party transactions with Uninav Developers, Nupur Infratech, Nupur Recyclers, and Nupur Hospitality.

Also Read: Why Are PSU Banks Like PNB, Canara, and Others Removing Minimum Balance Penalties!

Usha Financial Services Share Price Performance

As of July 8, 2025, at 10:05 AM, Usha Financial Services share price is trading at ₹80.95 per share, reflecting a gain of 1.18% from the previous closing price. Over the past month, the stock has gained by approximately 3.90%.

Conclusion

Usha Financial Services' latest board decisions signal robust confidence in the company's financial position and strategic direction. The bonus issue, capital raise, and governance enhancements collectively position the company for accelerated growth while rewarding shareholders and reinforcing corporate transparency.

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