Shares of Reliance Industries surged nearly 2.6 percent on 29 August
Reliance Industries has a track record of rewarding its shareholders with bonus issues.
Shares of Reliance Industries rose nearly 2.6% on August 29 after the company announced that its board will consider a 1:1 bonus share issue on September 5. This announcement was made just before RIL’s 47th annual general meeting, which began today.
The shares hit a 1-month high intraday.
If approved, this will mark RIL’s first bonus issue in seven years. The bonus issue is intended to reward shareholders for the company’s robust financial performance and business growth under Mukesh Ambani’s leadership.
Additionally, this move is expected to improve the liquidity of RIL shares, making them more accessible to a wider range of investors.
“When Reliance grows, we reward our shareholders handsomely. And when our shareholders are rewarded handsomely, Reliance grows faster and creates more value. This virtuous cycle has been the guarantor of your company’s perpetual progress,” said Chairman Mukesh Ambani at the AGM.
At 2:02 pm, Reliance Industries Limited (RIL) shares were trading 2.3% higher at ₹3,066.05 on the National Stock Exchange (NSE). The stock has gained approximately 18% year-to-date, outperforming the Nifty’s 15% return for the same period. Over the past 12 months, RIL’s share price has increased by 26%.
RIL Bonus Issue History
Reliance Industries has a track record of rewarding its shareholders with bonus issues. The most recent was announced on July 21, 2017, at a 1:1 ratio, giving shareholders one additional share for each share held.
Before that, RIL issued a 1:1 bonus on October 7, 2009. This followed a similar bonus issue on September 13, 1997.
Earlier, on October 28, 1983, RIL provided a 3:5 bonus, awarding shareholders three additional shares for every five shares held.
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