RITES shares rallied over 6 percent to Rs 295 on Friday after the company said its board would meet on June 24 to consider bonus issue proposal. A meeting of the board of directors of the Company is scheduled to be held on Monday, June 24, 2019, to deeply consider the proposal for issuance of bonus shares, Rites said in a regulatory filing today.
The stock gained as much as 6.3 percent to Rs 294.50 per share on BSE in intra-day deals. At 11:35 am, the stock was trading 4.7 percent higher at Rs 290 in comparison with to 0.4 percent (170 points) fall in BSE Sensex at 39,571.
RITES made its stock market debut on July 3, 2018, listing at Rs 190 on the BSE, against issue price of Rs 185 per share. From the issue price of Rs 185, the stock has risen 59 percent as of today’s high.
The company’s Rs 466-crore IPO, which ran between June 20 and 22, was subscribed 67 times. The price band for the IPO was fixated at Rs 180-185 per share with a face value of Rs 10. The stock hit an all-time high of Rs 327 on August 17, 2018.
It was the first state-owned company to hit the IPO market in FY19. In the RITES IPO, the government sold a 12 percent stake or 2.52 crore equity shares.
