5:1 Bonus Issue: Small-Cap Wire Manufacturer Allots First-Ever Bonus Shares; Board Approves Rs 800 Crore Borrowing Limit

On Wednesday, Indian equity benchmarks traded sharply lower, with the benchmark Nifty 50 index declining 2.12 per cent to 23,882.25. Amid the broader market weakness, V-MARC India share price traded at Rs 277.95, down 4.11 per cent from the previous close after the company completed the allotment of its first-ever Bonus issue.

V-MARC India Completes First-Ever 5:1 Bonus Issue

V-MARC India announced that its Board of Directors has allotted 12,21,03,480 fully paid-up bonus equity shares of face value Rs 10 each in the ratio of 5:1, meaning shareholders received five new equity shares for every one existing equity share held as on the record date of July 3, 2026.

This marks the first bonus issue in the company's history. The newly allotted bonus shares will rank pari passu with the existing equity shares in all respects.

V-MARC India Paid-Up Capital Increases Sixfold

Following the allotment, the company's paid-up equity share capital increased from 2,44,20,696 equity shares to 14,65,24,176 equity shares.

In value terms, the paid-up share capital rose from Rs 24.42 crore to Rs 146.52 crore, reflecting the impact of the 5:1 bonus allotment.

V-MARC India Board Approves Other Key Decisions

Apart from the bonus allotment, the Board approved the appointment of Mrs. Neha Rastogi as an Additional Non-Executive Independent Woman Director for a term of five years, subject to shareholders' approval.

The Board also approved the constitution of a Risk Management Committee with immediate effect. In addition, it approved proposals to enhance the limit for creating security on company assets under Section 180(1)(a) of the Companies Act, 2013 from Rs 600 crore to Rs 800 crore, and to increase the borrowing limit under Section 180(1)(c) from Rs 600 crore to Rs 800 crore, both subject to shareholders' approval at the ensuing AGM.
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About V-MARC India

V-MARC India Limited manufactures and markets wires, cables and electrical products for residential, commercial and industrial applications. The company has manufacturing facilities in Uttarakhand and supplies its products across India through an established distribution network.

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Disclaimer: The article is for informational purposes only and not investment advice.