Vipul Organics board recommends Bonus Equity Shares for shareholders and ESOSs for employees in its 50th year of operations

2 Mar 2022 , 08:49 AM

Vipul Organics Limited, the BSE listed leading Specialty Chemicals company in the pigments and dyes segment, today announced that the Board has recommended Bonus Equity Shares for its shareholders and ESOSs for its employees in its 50th year of operations, subject to Company’s shareholders approval.

Vipul Organics Board has recommended the issue of Bonus Equity Shares in proportion of 1:4 i.e. 1 (one) new fully paid-up Equity Share of Rs.10/- (Rupees Ten only) each for every 4 (Four) fully paid-up Equity Shares of Rs10/- (Rupees Ten only) each held by the eligible members of the Company, subject to the shareholders’ approval. A total of 25,62,375 new equity shares will be issued.

The Vipul Organics’ Board also approved and recommended Vipul Organics Limited – Employee Stock Options Scheme 2022 (“VOL – ESOS 2022”) and issuance of up to 2,00,000 Options to the eligible employees of the Company, subject to the shareholders’ approval.

The Board also allotted 3,34,000 Equity Shares at an issue price Rs111/- each (including premium of Rs101/- per share) upon conversion of 3,34,000 Warrants issued on preferential basis, as approved by the members of the Company in their Extra Ordinary General Meeting held on 30th January, 2021 to the promoter and promoter group of the Company. Upon conversion of the Warrants, the promoters’ stake has increased from 65.08% to 66.22%. After the above allotment, the paid-up share capital of the Company stands increased to Rs10,24,95,000/- divided into 1,02,49,500 Equity Shares of Rs10/- each.

Commenting on this occasion, Mr. Vipul Shah, Managing Director, Vipul Organics Limited said “over the past five decades, the Company has grown to become one of the largest manufacturers of Pigment and Dyes in India. This was made possible due to the unequivocal support of all its shareholders.” He added that the Company has always believed that Employees are its back bone and instrumental in it becoming strong and prosperous. The issue of Bonus Equity shares and ESOS’s is a token of appreciation for the continued support of its shareholders and employees respectively.