Earlier this month, Nykaa announced that its board approved the issuance of bonus equity shares of the company in the ratio of 1:5 i.e., the company will issue bonus of 5 shares for every 1 share held as on the record date.
Further, the company has fixed Thursday, November 03, 2022, as the record date for the purpose of determining members eligible for Bonus equity shares. The estimated date by which such bonus shares would be credited/dispatched would be within two months from the date of board approval i.e., on or before December 02, 2022.
The company said that the issuance of bonus shares will be out of Securities Premium Account available as on March 31, 2022. Bonus shares are fully paid additional shares issued by a company to its existing shareholders.
The actual number of bonus equity shares to be issued and post bonus issue share capital will be determined based on the paid-up share capital as on the record date, the company added.
“We hereby inform that the Board at its Meeting held on October 03, 2022, inter alia, has approved bonus issue of equity shares in the proportion 5 (Five) fully paid-up equity share of Re 1/- each for every 1 (One) fully paid-up equity shares of Re 1/- each held by the shareholders of the company as on the record date, subject to shareholders’ approval by way of postal ballot," Nykaa had informed in an exchange filing.
In Tuesday's session, Nykaa shares tumbled below its initial public offering (IPO) price of ₹1,125 apiece ahead of the 10 November expiry of the one-year lock-in period for its pre-IPO shareholders. Nykaa shares got listed in November last year and the stock has declined more than 53% since its market debut.
Other new age tech stocks, including Paytm, Zomato, Nykaa, PB Fintech, Delhivery, which recently went public , have also had a tough months so far on the stock market and have already fallen below their respective issue prices.
