Hindusthan Insulators Proposes 2:1 Bonus Issue

Bonus Issue Ratio: 2:1

Record Date: May 29, 2026

Reader Takeaway: Bonus issue to boost liquidity, requires member approval via e-voting.

What just happened

Hindusthan Insulators & Industries Limited announced its Board of Directors has recommended a bonus issue of equity shares in a 2:1 ratio. This means for every equity share held, shareholders will receive two additional bonus shares.

Why this matters

The company aims to improve the liquidity of its shares and make them more affordable to a wider base of retail investors. A bonus issue increases the number of shares an investor holds without any extra cost.

The backstory

Hindusthan Insulators & Industries is involved in the manufacturing of electrical insulators. The company is undertaking this corporate action as part of its strategy to expand its investor base and enhance share marketability.

What changes now

Eligible shareholders, determined by the record date of May 29, 2026, will receive bonus shares. The total equity capital will increase from ₹ 1.4428775 crore to ₹ 4.328655 crore, with the number of shares rising to 2,16,43,275.

Risks to watch

The bonus issue is subject to member approval through a postal ballot. The e-voting period is from June 02, 2026, to July 01, 2026. Investors should monitor the outcome of this vote.

Context metrics (time-bound)

The company will capitalize ₹ 2.88577 crore from its reserves for this bonus share issuance. The face value of each equity share is ₹ 2.

What to track next

Shareholders should track the outcome of the member approval process via e-voting, which concludes on July 01, 2026.