Bonus issue: Anil found no takers

Anil Ambani’s proposal to consider a bonus issue was ignored by the Reliance Industries board at its meeting on Monday. The Reliance vi...

Anil Ambani’s proposal to consider a bonus issue was ignored by the Reliance Industries board at its meeting on Monday. The Reliance vice-chairman and MD had proposed a bonus issue instead of a share buyback at the crucial meeting. However, other directors did not support the younger Ambani and cleared Mukesh Ambani’s proposal for buyback of shares.

Anil, fighting a bitter battle with Mukesh, made a slide presentation during the board meeting to emphasise as to why a bonus issue was a preferable option than the buyback for shareholders, sources said.

Anil said Reliance, with huge reserves (over Rs 30,000 crore), could give shareholders better benefit by giving bonus shares, the quantum of which could be decided by the board on merit, than offering a buyback. However, listing rules say a company will have to give adequate notice to the bourses to consider a bonus issue. RIL’s Rs 2,999-crore share buyback will open on January 10, 2005 and will remain open till December 26, 2005.

A Reliance notice said the promoters’ stake will rise to 48.52 from 46.7 per cent. Mukesh controls the promoters stake in RIL.

SC on Waqf Act: Stay on clause that creator has to be practising Islam for 5 yrs

India43 min ago

The Supreme Court on Monday refused to stay the Waqf (Amendment) Act, 2025, provision requiring registration of Waqf by user, but paused the clause that states a person must be a practitioner of Islam for five years to create a Waqf until state governments frame relevant rules.

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