Sarveshwar Foods Announces Major Corporate Actions: 2:1 Bonus, 10:1 Stock Split, and Fundraising via Warrants

FMCG major Sarveshwar Foods has announced a series of significant corporate actions. The company revealed plans to implement a 2:1 bonus issue and a 10:1 stock split, alongside raising over Rs 24 crore through the issuance of fully convertible warrants.

Key Highlights:

2:1 Bonus Issue: Sarveshwar Foods will issue one additional equity share for every two shares held by shareholders. This move aims to reward existing shareholders and increase the liquidity of the company's stock.

10:1 Stock Split: The face value of the company's shares will be subdivided from Rs 10 to Re 1 per share. This stock split is designed to make the shares more affordable for investors and enhance trading volume.

Fundraising via Warrants: The company will raise Rs 24.73 crore through the preferential issue of 10,20,00,000 fully convertible warrants to promoters and investors. Each warrant, priced at Rs 9.70, allows holders to subscribe to one equity share, with 25% of the issue price to be paid upfront.

These actions reflect Sarveshwar Foods' commitment to strengthening its market position and expanding its financial base. The company's primary focus remains on food processing, particularly in rice product varieties.

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