Document Title: Outcome of Board Meeting held on Thursday, 23rd July, 2026 — Bonus Issue, Final Dividend and Record Date
Meeting Date: July 23, 2026
Bonus Issue Summary
Bonus Ratio: 1:1 (One new fully paid-up equity share for every one existing fully paid-up equity share held)
Record Date: To be announced shortly after compliance with Regulation 42 of LODR Regulations and receipt of in-principle approval from stock exchanges
Source of Bonus: Free reserves created out of profits or share premium account
Pre-bonus Paid-up Share Capital: ₹44,14,21,900 divided into 4,41,42,190 equity shares of ₹10 each
Post-bonus Paid-up Share Capital: ₹88,28,43,800 divided into 8,82,84,380 equity shares of ₹10 each
Change in Number of Shares: From 4,41,42,190 shares to 8,82,84,380 shares (100% increase)
Estimated Allotment/Credit Date: On or before September 22, 2026 (within two months from Board approval date)
Shareholder Approval Required: Subject to approval of shareholders by way of ordinary resolution (if required under Articles of Association)
Increase in Authorised Share Capital Required: Yes, authorized share capital needs to be increased from ₹45,00,00,000 to ₹100,00,00,000 to accommodate the bonus issue
Financial Impact Analysis
The bonus issue will mechanically double the outstanding share count from 4.41 crore to 8.82 crore shares
Earnings Per Share will be diluted proportionally due to the share count expansion
Adequacy of reserves: As of December 31, 2025 (audited), the company had Securities Premium of ₹3140.91 lakhs and Retained Earnings of ₹8960.92 lakhs, totaling approximately ₹121.02 crore, which is adequate to support the ₹44.14 crore capitalization required for the bonus issue
The bonus issue is positioned as a capitalization of reserves without explicit statement of purpose beyond shareholder reward
Dividend Declaration
Dividend Type: Final Dividend for financial year ended March 31, 2026
Dividend Amount: Re. 0.10 per equity share of face value ₹10 each (1% of face value)
Record Date: To be announced shortly, same record date as for bonus issue
Payment Source: Profits of the Company for financial year ended March 31, 2026
Payment Timeline: To be credited within 30 days from date of declaration at Annual General Meeting
Shareholder Approval: Subject to approval at ensuing Annual General Meeting
Other Board Decisions
Increase in Authorised Share Capital: Approved alteration to Clause 5 of Memorandum of Association to increase authorized share capital from ₹45,00,00,000 to ₹100,00,00,000, subject to shareholder approval
Business Expansion: Board approved forward integration into grey fabric manufacturing and trading using company's own high-quality cotton yarn, serving domestic and international customers under Aastha's proprietary in-house brand
Record Date Procedures
The Record Date for both bonus issue and final dividend will be announced after compliance with Regulation 42 of LODR Regulations
A gap of three working days will be maintained between Board approval date (July 23, 2026) and Record Date as per LODR (Amendment) Regulations, 2024
Ex-Date will be one working day prior to the Record Date
Bonus shares will be listed on T+2 basis from the Record Date as per SEBI Circular CIR/CFD/PoD/2024/122
