Sandur Manganese & Iron Ores Limited (SMIORE) has taken significant steps towards enhancing its capital structure and rewarding its shareholders. The company recently announced the approval of two key resolutions through a postal ballot, marking a new chapter in its corporate journey.

Authorized Share Capital Increase

Shareholders of SMIORE have given their nod to increase the company's authorized share capital from ₹200.00 crore to ₹600.00 crore. This substantial boost triples the company's authorized capital, providing it with greater financial flexibility for future growth initiatives.

The resolution was passed with an overwhelming 99.74% of votes in favor. The new authorized share capital structure allows for the issuance of 60 crore equity shares of ₹10 each, up from the previous structure.

Bonus Share Issuance Approved

In a move that is likely to be welcomed by shareholders, SMIORE has also secured approval for the issuance of bonus shares. The company plans to issue two new fully paid-up equity shares for every one existing share held by eligible shareholders.

This resolution garnered strong support, with 99.31% of votes cast in favor. The bonus issue will be funded by capitalizing a sum not exceeding ₹324.07 crore from the company's free reserves or other permitted reserves.

Financial Implications

To facilitate the bonus issue, SMIORE will capitalize a portion of its reserves, which stood at ₹2,581.41 crore as per the latest available data. This move is expected to enhance the liquidity of the company's shares in the stock market without affecting the company's total equity value.

Voting Process

The remote e-voting process for these resolutions concluded on September 10, with T. Sathya Prasad Yadav serving as the scrutinizer.

Conclusion

These strategic decisions by Sandur Manganese & Iron Ores Limited reflect a commitment to creating value for shareholders while positioning the company for potential future growth. The increase in authorized capital provides SMIORE with the necessary headroom for any future capital-raising activities, while the bonus issue offers a tangible benefit to existing shareholders.

Both the new equity shares and bonus shares will rank equally with existing shares, ensuring fairness for all shareholders. Investors and market watchers will be keen to see how these corporate actions impact SMIORE's stock performance and its long-term growth strategy in the manganese and iron ore sectors.

Sandur Manganese & Iron Ores Limited (SANDUMA) has initiated a crucial process for shareholders holding physical shares, requesting them to furnish their demat account details for the allocation of bonus shares. This move comes in light of the company's recent Postal Ballot Notice dated 8 August 2025, which sought approval for the issuance of bonus shares.

Regulatory Compliance and Deadline

In adherence to the Securities and Exchange Board of India (SEBI) regulations, the company has emphasized that bonus shares can only be allotted in dematerialized form. This directive aligns with SEBI's Circular No. SEBI/LAD-NRO/GN/2023/130 dated 23 May 2023, which amended the provisions of Chapter XI of SEBI (Issue of Capital and Disclosure Requirements) Regulations, 2018.

Shareholders holding physical shares are required to submit the necessary documents by 15 September 2025. The required documentation includes:

1. A request letter for crediting bonus shares to the demat account
2. Form ISR-1
3. Form ISR-2
4. Self-attested copy of PAN
5. Self-attested copy of Aadhaar or any other government-issued address proof
6. Client Master List attested by the Depository Participant

Consequences of Non-Compliance

The company has clearly stated that if shareholders fail to provide the required documents by the specified deadline, their bonus shares will be credited to a Suspense Escrow Demat Account. Alternatively, these shares may be dealt with as specified by the Stock Exchanges or other relevant authorities. Shareholders who miss the deadline can later claim their bonus shares from this account through the company or its registrar, Venture Capital & Corporate Investments Private Limited (VCCIPL).

Assistance for Shareholders

To facilitate this process, Sandur Manganese & Iron Ores has made the necessary forms available for download on both the company's website ( www.sandurgroup.com/others ) and the registrar's website ( www.vccipl.com ). Shareholders seeking further clarification or information can contact the company or VCCIPL via email at secretarial@sandurgroup.com or investor.relations@vccipl.com , respectively.

Implications for Investors

This move by Sandur Manganese & Iron Ores underscores the ongoing shift towards dematerialization in the Indian stock market. It also highlights the importance for investors holding physical shares to transition to demat accounts to ensure smooth processing of corporate actions such as bonus issues.

The company's proactive communication on this matter demonstrates its commitment to keeping shareholders informed and compliant with regulatory requirements. Investors are advised to take prompt action to avoid any complications in receiving their bonus shares.