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Samvardhana Motherson Declares 1:2 Bonus Issue to Celebrate 50 Years

By Ankur Chandra | Updated at: Jun 2, 2025 06:15 PM IST

Samvardhana Motherson Declares 1:2 Bonus Issue to Celebrate 50 Years
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Mumbai, May 30, 2025 – Samvardhana Motherson International Ltd (NSE: MOTHERSON, BSE: 517334) has announced a 1:2 bonus share issue to commemorate its 50th anniversary and reflect its strong FY25 performance. Shareholders will receive one fully paid-up equity share for every two shares held.

Bonus Issue Details

Particulars Details
Bonus Ratio 1:2 (One bonus share for every two shares)
Face Value ₹1 per share
Total Bonus Shares to be Issued 351.81 crore shares
Value of Bonus Issue ₹351.81 crore
Pre-Bonus Share Capital ₹703.63 crore
Post-Bonus Share Capital ₹1,055.44 crore
Source of Bonus Securities Premium Account
Available Securities Premium ₹31,310 crore (as on March 31, 2025)
Record Date To be intimated
Estimated Credit/Dispatch Date By July 28, 2025

The issuance awaits shareholder approval via postal ballot. The bonus shares will have the same rights and rank pari-passu with existing equity shares.

CCD Conversion Adjustment

In accordance with SEBI guidelines, the company will revise the conversion terms of its ₹1,500 crore, 6.5% compulsorily convertible debentures (CCDs), issued through QIP in September 2024. The revised minimum conversion price post-bonus will be ₹126.67, adjusted from ₹190.00.

Board Statement

The Board described the bonus issue as a tribute to Motherson’s 50-year journey, tracing its origins to the 1975 partnership between the late Smt. Swaran Lata Sеhgal and Mr. V.C. Sеhgal. The initiative acknowledges shareholder loyalty and highlights the company’s continued financial resilience.

Strategic Outlook

Backed by substantial reserves and a growing international presence, Motherson’s latest move underscores its commitment to rewarding shareholders. The bonus issue not only honours its legacy but also aims to boost share liquidity and expand investor participation, setting the stage for future growth.

DisclaimerThis content is only for informational purpose. It does not make any recommendation to act or invest. Please read the offer documents carefully before investing. Investments are subject to market risks and other risks. There is no guarantee of the actual returns that will be given.

REF: https://nsearchives.nseindia.com/corporate/MOTHERSON_29052025142539_Bonus.pdf

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