Shares of Mold-Tek Packaging attracted investors’ attention on Wednesday after the company announced a 1:1 bonus share issue along with a final dividend of ₹3 per share for FY26.
Following the announcement, the stock jumped as much as 4.03% to ₹734.40 on the BSE. Around 2:29 pm, the shares were trading at ₹717, up 1.44%.
The decisions were taken at the company’s board meeting held on August 26.
Mold-Tek Packaging Announces 1:1 Bonus Shares
The company’s board has approved a 1:1 bonus issue.
Under this plan, shareholders will receive 1 additional share for every 1 share they already hold on the record date.
The bonus shares will have a face value of ₹5 each and will be issued from the company’s free reserves as of March 31, 2026.
However, investors should note that the record date has not been announced yet. The company will provide the date separately.
The bonus issue is expected to be completed within two months of the board meeting, subject to shareholder approval.
₹3 Final Dividend for Shareholders
Mold-Tek Packaging has also recommended a final dividend of ₹3 per equity share for FY26.
Since each share has a face value of ₹5, the dividend is equal to 60% of the face value.
The dividend will be paid after approval at the company’s upcoming Annual General Meeting.
The record date for the dividend has also not been announced yet.
Company Plans to Double Authorised Share Capital
Another major decision taken by the board is related to the company’s authorised share capital.
Mold-Tek Packaging plans to increase it from ₹20 crore to ₹40 crore.
After the increase, the authorised capital will consist of 8 crore equity shares of ₹5 each, compared with 4 crore shares currently.
This proposal will also require shareholder approval.
What Does the Bonus Issue Mean for Investors?
A 1:1 bonus issue means the number of shares held by eligible investors will effectively double.
For example, if an investor holds 100 shares before the bonus issue, they would receive another 100 bonus shares, taking the total to 200 shares.
However, investors should remember that a bonus issue by itself does not immediately increase the overall value of their investment.
The share price is adjusted after the bonus shares are issued.
The ₹3 final dividend, on the other hand, provides a separate cash benefit to eligible shareholders.
With the stock reacting positively to the announcements, investors will now be watching for shareholder approval and the record dates for both the bonus issue and dividend
