CKK Retail Mart has approved a proposal to increase its authorised share capital from ₹20 crore to ₹117 crore and a 5:1 bonus issue of equity shares.
The proposals were approved by the company’s Board on Tuesday and are subject to the requisite shareholders’ approval.
The proposed increase in authorised share capital will raise the company’s authorised equity share capital from 2 crore equity shares to 11.70 crore.
The Board has also approved the consequential amendment to the Capital Clause of the company’s Memorandum of Association, subject to shareholders’ approval.
The company proposes to issue 9,68,40,000 bonus equity shares, having an aggregate face value of ₹97 crore.
Following the proposed bonus issue, the company’s paid-up equity share capital is expected to increase from ₹19.37 crore to ₹116.21 crore.
The proposed issue is to be funded through the capitalisation of eligible balances from the securities premium account and retained earnings/surplus, as specified in the company’s regulatory disclosure.
The company will announce the record date separately.
The proposed initiative is aimed at supporting the company’s international expansion plans and creating opportunities to explore business prospects in overseas markets.