has approved its first-ever bonus share issue, with the board clearing a 1:1 bonus ratio at its meeting on Friday, July 4. This means shareholders will receive one bonus share for every share held as of the record date, which will be announced separately, the company said in a stock exchange filing.According to BSE data, this marks the company’s maiden bonus issue. In 2023, VRL Logistics completed a Rs 61 crore share buyback.

The bonus shares will be issued from eligible reserves, including the securities premium account, general reserve, capital redemption reserve, and retained earnings as of March 31, 2025. They are expected to be credited to shareholders’ accounts on or before September 2, 2025.

Also Read: 10 Nifty smallcap stocks analysts expect to rally up to 72%

Bonus shares are typically issued to capitalise on free reserves, boost paid-up capital, and enhance stock liquidity. These shares are allotted at no additional cost to shareholders but are available only to investors holding the stock before the ex-date.

As of March 2025, promoters held a 60.24% stake in the company.Also Read: Suzlon, Adani Ports among 10 stocks that earned upgrades in last 1 month. Check revised target priceAt 2:23 pm on Friday, VRL Logistics shares were trading 1% higher at Rs 600.9 on the BSE. The stock has gained 22% so far in 2025 but is down 14.5% over the past two years. The company’s current market capitalisation stands at Rs 5,256 crore.

According to Trendlyne, the average analyst target price for the stock is Rs 697, indicating a potential upside of 16%. The stock carries a ‘Strong Buy’ rating from eight analysts.

Also Read: Defence outshines all sectors with 35% rally in 2025: What’s driving the surge and will it last?

(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of The Economic Times)