GHV Infra Projects has set a significant milestone for its shareholders, announcing both a bonus issue and a stock split. The company has declared September 16 as the record date for these corporate actions, which are aimed at enhancing liquidity and making shares more accessible to a broader range of investors.

Bonus Issue Details

The company has approved a generous 3:2 bonus issue, meaning shareholders will receive three additional shares for every two shares they currently hold. This move is expected to reward existing shareholders and potentially increase the overall number of shares in circulation.

Stock Split Information

In addition to the bonus issue, GHV Infra Projects has also announced a stock split. The face value of each share will be reduced from Rs 10.00 to Rs 5.00. This split is designed to make the shares more affordable and potentially increase their liquidity in the market.

Important Dates

Market Response

The announcement has been well-received by the market. On Friday, GHV Infra Projects' stock closed 2.00% higher at Rs 1,564.95 on the Bombay Stock Exchange (BSE).

Impact on Market Capitalization

It's important to note that these corporate actions do not affect the company's overall market capitalization or net worth. The share values will be adjusted proportionally to reflect the bonus issue and stock split.

Investor Implications

These corporate actions could have several implications for investors:

1. Increased Affordability: The stock split will make individual shares more affordable, potentially attracting a wider range of investors.
2. Enhanced Liquidity: Both the bonus issue and stock split may lead to increased trading volume and improved liquidity.
3. Shareholder Value: Existing shareholders will see an increase in the number of shares they hold, although the proportional ownership of the company remains unchanged.

Investors should note that while these actions may make the stock more attractive in terms of affordability and liquidity, they do not inherently change the fundamental value of the company. As always, investment decisions should be based on thorough research and individual financial goals.

GHV Infra Projects Limited has initiated a postal ballot to seek shareholder approval on several key resolutions that could significantly alter the company's leadership and strategic direction.

Board Appointments and Management Changes

The company is proposing to regularize the appointment of three independent directors:

• Kazim Raza Khan
• Samrathdan Zula
• Kavita Akshay Chhajer

These directors were initially appointed as additional directors on June 26, and the company is now seeking approval for their five-year terms.

In addition, GHV Infra Projects is requesting shareholder consent to appoint Reby Thomas Elsan as Managing Director for a three-year term. The proposed remuneration for this position is set at up to Rs 2.00 lakhs per month.

Financial Empowerment and Strategic Shift

The postal ballot includes several resolutions aimed at enhancing the company's financial flexibility and operational scope:

• Increasing borrowing limits to Rs 100.00 crores
• Authorizing loans and investments up to Rs 100.00 crores
• Creating security on company assets

These financial measures could provide GHV Infra Projects with greater resources for potential growth and expansion initiatives.

Geographical and Operational Changes

Shareholders are also being asked to approve two significant operational changes:

1. Shifting the registered office from Karnataka to Maharashtra
2. Altering the main object clause of the company

The proposed change to the main object clause signals a strategic pivot towards infrastructure projects incorporating advanced technologies such as Artificial Intelligence (AI), Internet of Things (IoT), and blockchain.

Voting Details and Financial Performance

The voting period for the postal ballot is scheduled from July 1 to July 30, with results expected to be announced by August 1.

It's worth noting that these proposed changes come against a backdrop of financial challenges. For the fiscal year ended March 31, GHV Infra Projects reported:

The negative net worth underscores the importance of the proposed resolutions, which could potentially help in turning around the company's financial position.

As GHV Infra Projects seeks to navigate these challenges and position itself for future growth, the outcome of this postal ballot could play a crucial role in shaping the company's trajectory in the coming years.