Commodity Chemicals Stock engaged in the business of manufacturing and selling surface finishing products, engineering solutions, and many more jumped 2 percent in the day’s trade upon announcing the bonus issue of the equity shares of the company in the ratio of 1:1.
With a market capitalization of Rs. 4,480 Crores, the shares of Grauer & Weil (India) Limited were trading at Rs. 198, up 0.90 percent from its previous day’s close price of Rs. 196.20
The board of directors of Grauer & Weil (India) Limited has approved the issue and allotment of bonus shares of the company in the ratio of 1:1 i.e., one bonus equity share will be issued to each equity share held by the shareholders of the company as on the record date.
A sum of Rs. 22.67 Crores will be required from the free reserves of the company to issue the bonus shares. The bonus shares are said to be credited within 2 months from the date of board approval subject to the completion of formalities.
Grauer & Weil (India) Limited is engaged in the business of manufacturing and selling surface finishing products and engineering solutions. It is also diversified into operating malls in Mumbai.
The company has a global presence with operations in over 50+ countries with business lines including Chemicals, Engineering, Paints, Malls, and Lubricants.
Business-wise gross operating income breakup is as follows, Surface Finishing generates 88 percent, Engineering 9 percent, and Shoppers Entertainment 3 percent.
Its revenue from operations grew by 27.71 percent from Rs. 768 Crores in FY22 to Rs. 981 Crores in FY23, accompanied by increasing profits of Rs. 79 Crores to Rs. 113 Crores.
It has reported a return on equity (ROE) of 18 percent and a return on capital employed (ROCE) of 23.7 percent, it is making good returns on its equity and capital employed.
Written by: Bharath K.S
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