GRM Overseas Issues 2‑for‑1 Bonus Shares: What Existing Holders Gain

GRM Overseas is giving every shareholder a free extra share through a 2‑for‑1 bonus issue, with the record date set for December 24.

How the bonus share works

On the record date, shareholders will receive two additional shares for each share they own. After the bonus, each original share becomes three shares in total.

Price adjustment explained

When the bonus is applied, the market price of the stock drops automatically. This drop is only a technical adjustment – the overall value of your holding stays the same because you now own more shares. For example, the share price fell from about ₹178.80 to ₹166.20 after the bonus was announced, but the extra shares compensate for the lower price.

Capital increase details

• The board approved raising authorized capital from ₹20 crore to ₹45 crore.
• The new capital is split into 22.5 crore equity shares of ₹2 each, equal in rights to existing shares.
• According to SEBI rules, the deemed allotment date for the bonus shares is December 26, 2025. Eligible shares will be credited to demat accounts shortly after.

Recent performance – Q2 FY26

GRM Overseas reported strong growth in its latest quarter:

• Revenue rose 16.2% year‑on‑year to ₹372.1 crore, helped by a 72% jump in exports.
• Profit after tax jumped 60.5% to ₹14.8 crore.

What this means for investors

The bonus issue increases the number of shares you own without any extra cost, which can improve liquidity and make the stock more affordable for new investors. The recent earnings boost suggests the company is on a solid growth path, adding confidence to the bonus move.

Disclaimer

Remember, this is perspective, not a prediction. Do your own research or consult a financial advisor before making any investment decisions.