Linc Approve Stock Split, Bonus Shares Issue

Linc Ltd.'s board of directors approved the split of their existing equity share, having a face value of Rs. 10 each, into two equity shares, having a face value of Rs. 5 each, on Tuesday, according to a press release on NSE. The share values were fully paid up.

The company said that it undertook this move to enhance the liquidity of the company's equity shares and to encourage participation of retail investors by making equity shares of the company more affordable.

The expected time of completion is within two months from the date of approval of the shareholders of the company.

It will have 2.9 crore fully paid-up shares after the split with a share capital of Rs 14 crore.

The company has issued a single class of equity shares.

The board also approved the issue of bonus equity shares. They will be issued in a 1:1 ratio, meaning eligible shareholders will receive one new fully paid-up equity share of Rs. 5 for each existing fully paid-up share they own, which is also valued at Rs. 5. This will be funded by capitalising the securities premium and is subject to shareholder approval.

They shall be issued by capitalising a Rs. 14 crore out of the sum standing to the credit of the securities premium account. The number of shares after the bonus would be 5.9 crore shares with a share capital of 29.7 crore.

The balance in the securities premium account as of 31st March 2024 was Rs. 2096.9 lakh.

The estimated date by which the bonus shares would be dispatched would be within two months from the date of approval by the board.

Shares of Linc Ltd. closed 0.18% lower at Rs 650.20 apiece on the BSE, compared to a 0.45% uptick in the benchmark BSE.