Patanjali Foods announces 2:1 bonus share issue

Patanjali Foods Ltd on Thursday announced a bonus issue of equity shares in the ratio of 2:1, subject to shareholder approval. The decision was taken at a board meeting where the company also approved a postal ballot notice to seek approval from shareholders for the proposal.

Under the proposed bonus issue, eligible shareholders will receive two fully paid-up equity shares of face value ₹2 each for every one equity share held as on the record date, which will be announced in due course. 

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The bonus shares will be issued by capitalizing the company’s capital redemption reserve, securities premium, and/or general reserve.

“The Board considered and recommended the issue of bonus shares in the ratio of 2:1… subject to shareholders’ approval,” the company said in a regulatory filing.

The company plans to issue approximately 72.5 crore bonus equity shares, bringing the total paid-up share capital from ₹72.5 crore to ₹217.5 crore post-issue.

As per the timeline outlined in the filing, the bonus shares are expected to be credited or dispatched by September 16, 2025, within two months of the board meeting.

Share Capital Structure was that the pre-bonus is 36.25 crore equity shares of ₹2 each, aggregating to ₹72.5 crore while post-bonus is 108.75 crore equity shares of ₹2 each, aggregating to ₹217.5 crore.

Shares of Patanjali Foods have delivered a return of 48.42% over the past two years and gained 79.49% in the last three years. The bonus issue is expected to improve liquidity and market participation in the stock.