IOC to offer bonus share -Governance Now

IOC to offer bonus share

The board of directors has approved the bonus share in the ratio of 1:1, as its first-quarter net profit jumped 25 percent

GN Bureau | August 30, 2016

#IOC #bonus share #net profit

State-owned Indian Oil Corporation (IOC) has announced bonus shares as its first-quarter net profit jumped 25 percent to Rs 8,268.98 crore.

The board of directors has approved the bonus share in the ratio of 1:1. It means the company will issue one equity share of Rs 10 each for every fully-paid up share of Rs 10 each, according to a news report in Telegraph. The government, which holds a majority stake in IOC, will be the key beneficiary of the move.

The government owns a 58.28 percent stake in Indian Oil, which controls nearly half of the country's fuel market, 35 percent of the national refining capacity and 71 percent of downstream pipelines.

The capital restructuring rules for central public sector enterprises (CPSEs) notified by the government in May mandates every PSU to issue bonus shares if its reserves and surplus are equal to or more than 10 times its paid-up equity share capital.

IOC is the country's largest commercial entity with a sales turnover of Rs 3,99,601 crore ($61 billion) and profit of Rs 10,399 crore ($1.58 billion) in 2015-16. It ranks 161 among the world's largest companies - and the first among Indian companies - in the Fortune Global 500 list for 2016.

Comments

Other News

What really happened in ‘The Scam That Shook a Nation’?

The Scam That Shook a Nation By Prakash Patra and Rasheed Kidwai HarperCollins, 276 pages, Rs 399 The 1970s were a

Report of India’s G20 Task Force on Digital Public Infrastructure released

The final ‘Report of India’s G20 Task Force on Digital Public Infrastructure’ by ‘India’s G20 Task Force on Digital Public Infrastructure for Economic Transformation, Financial Inclusion and Development’ was released in New Delhi on Monday. The Task Force was led by the

How the Great War of Mahabharata was actually a world war

Mahabharata: A World War By Gaurang Damani Sanganak Prakashan, 317 pages, Rs 300 Gaurang Damani, a Mumbai-based el

Budget expectations, from job creation to tax reforms…

With the return of the NDA to power in the recently concluded Lok Sabha elections, all eyes are now on finance minister Nirmala Sitharaman’s full budget for the FY 2024-25. The interim budget presented in February was a typical vote-on-accounts, allowing the outgoing government to manage expenses in

How to transform rural landscapes, design 5G intelligent villages

Futuristic technologies such as 5G are already here. While urban users are reaping their benefits, these technologies also have a potential to transform rural areas. How to unleash that potential is the question. That was the focus of a workshop – “Transforming Rural Landscape:

PM Modi visits Rosatom Pavilion at VDNKh in Moscow

Prime minister Narendra Modi, accompanied by president Vladimir Putin, visited the All Russian Exhibition Centre, VDNKh, in Moscow Tuesday. The two leaders toured the Rosatom Pavilion at VDNKh. The Rosatom pavilion, inaugurated in November 2023, is one of the largest exhibitions on the histo