Alka India Ltd Recommends Dividend, Bonus Issue, and Alters Object Clause
Alka India Ltd announced key corporate actions following its Board of Directors meeting held on Tuesday, April 07, 2026. The board approved the recommendation of a final dividend for the financial year 2025-26, a bonus equity share issue, and the alteration of the company's 'Object Clause' in its Memorandum of Association.The Board recommended a final dividend of Rs. 0.04 per equity share of the face value of Re. 1 each for the financial year 2025-26. This dividend pertains to the entire issued, subscribed and paidup share capital of 50,00,000 equity shares, each having a face value of Re. 1.
Furthermore, the company recommended a bonus equity share issue in the proportion of 6:1. This entitles every 1 fully paid-up equity share held by public shareholders (excluding Promoter and Promoter Group) to 6 bonus equity shares of Re. 1 each. The purpose of this bonus issuance is to comply with the minimum public shareholding requirement.
The Board fixed Friday, May 08, 2026, as the Record Date to determine the eligibility of public shareholders (excluding Promoter and Promoter Group) entitled to receive the Bonus Equity Shares.
A detailed look at the bonus share structure is provided in the table below:
| Particulars | Details |
|---|---|
| Bonus Ratio | 6:1 (6 new fully paid-up Equity Shares of Re. 1 each for every 1 existing fully paid-up Equity Share of Re. 1) |
| Pre-bonus issue paid-up share capital | 50,00,000 equity shares aggregating to Rs. 50,00,000 |
| Post-bonus issue paid-up share capital | 65,00,000 equity shares aggregating to Rs. 65,00,000 |
| Free reserves available for capitalization | Rs. 17.81 Lakhs as on 31.03.2026 |
The recommended bonus shares are slated for crediting or dispatch on or before June 07, 2026, which is within two months from the date of the Board Meeting. The issuance of bonus shares is proposed to be from the capitalization of free reserves, subject to shareholder approval.
In addition to these financial recommendations, the board approved the addition and subsequent alteration of the 'Object Clause' within the Memorandum of Association, subject to shareholder approval at an ensuing general meeting.
The amendments to the Object Clause involve adding business interests related to the ethanol sector and metals and minerals. Specifically, the added objects include:
- Carrying on the business of manufacturers, producers, processors, etc., in ethanol of all kinds and descriptions, including fuel ethanol, bio-ethanol, and industrial ethanol, and all related derivatives. This encompasses manufacturing and processing ethanol from raw materials like molasses, grains, and biomass, and establishing necessary infrastructure.
- Carrying on the business of manufacturers, producers, and dealers in all kinds of ferrous and non-ferrous metals and alloys, including copper, zinc, iron, and steel. This scope includes activities such as prospecting, mining, exporting, and dealing in minerals and ores, as well as engaging in recycling of metal scrap.
Stock Price Movement
At the close of trading on Tuesday, Alka India Ltd shares settled at ₹18.04, posting a gain of 4.94% for the day. Throughout the session, the stock remained completely flat, locking into a single price point of ₹18.04.Source:
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