Bonus Alert: Gail & BPCL-Backed Gas Distribution Company Announces 1 Free Share For Every 1 Share Held; Do You Own It?
The stock is down by 31.6 per cent from its 52-week high of Rs 570.60 per share and up 27.3 per cent from its 52-week low of Rs 306.50 per share.
Indraprastha Gas Limited (IGL) has announced that the Board of Directors of the company intends to increase its authorized share capital from Rs 220 crores to Rs 1,000 crores by altering its Memorandum of Association. Additionally, IGL proposes to issue bonus shares to its shareholders in a 1:1 ratio, meaning that for every one share held, shareholders will receive one additional share. Both proposals are subject to the approval of IGL's shareholders.
Indraprastha Gas Limited (IGL), a joint venture between GAIL (India) Limited and Bharat Petroleum Corporation Limited (BPCL), was established in 1998. Primarily operating in the National Capital Territory of Delhi, IGL has expanded its reach to neighbouring regions such as Noida, Greater Noida, Ghaziabad, Hapur, Gurugram, Meerut, Shamli, Kanpur, Muzaffarnagar, Karnal, Rewari, Hamirpur, Fatehpur, Ajmer, Pali, and Rajasmand. The Government of NCT of Delhi holds a 5 per cent stake in the company, further solidifying its commitment to providing clean and efficient energy solutions to the region.
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IGL has a market cap of over Rs 27,000 crore with a 1-year CAGR of 40 per cent. The company reported amazing numbers in its Quarterly Results and annual results. The company has been maintaining a healthy dividend payout of 28 per cent with a dividend yield of 2.50 per cent. The stock has an ROE of 22 per cent and a ROCE of 28 per cent.
Recently, HDFC Mutual Fund bought 5,00,066 shares via the open market and the company is backed by Gail (India) Ltd and Bharat Petroleum Corporation Ltd. The stock is down by 31.6 per cent from its 52-week high of Rs 570.60 per share and up 27.3 per cent from its 52-week low of Rs 306.50 per share. Investors should keep an eye on this mid-cap stock.
Disclaimer: The article is for informational purposes only and not investment advice.