Torrent Pharma shares in focus as stock trades ex-bonus

08 Jul , 2022 By : Kanchan Joshi

Shares of Torrent Pharma were trading almost flat at Rs1,417 apiece on the BSE in Friday's afternoon session with the stock trading ex-dividend, ahead of its record date for bonus shares.

Along with Q4FY22 results, Torrent Pharma said its board has recommended the issue of bonus shares in the ratio of 1:1 i.e. one equity share for each fully paid up equity share held as on record date fixed for the purpose. The board of directors of Torrent Pharma company has fixed next week, Monday, 11th July 2022 as the record date for its bonus shares issue.

The Bonus shares once allotted shall rank pari-passu in all respects and carry the same rights of the existing Equity Shares and shall be entitled to participate in full in any dividend and other corporate action, recommended and declared after the issue and allotment of such bonus shares, the company had said.

Consequent to the bonus issue, the total paid up share capital will be Rs. 169.22 crore from the existing Rs. 84.62 crore, Torrent Pharma had informed.

Further, along with its earnings, the board had also recommended to the members a final dividend of Rs. 23/- (460%) per equity share of Rs. 5/- each including the special dividend of Rs. 15/~ per equity share, the pharma company informed in an exchange filing. The final dividend amount, if declared by the shareholders, is proposed to be paid/dispatched on or around August 4, 2022, it added.

Torrent Pharma's consolidated loss stood at Rs118 crore for the fourth quarter ended March 2022 on account of impairment provision of Rs425 crore related to discontinuation of liquids business in the US. The company had reported a net profit of Rs324 crore in the January-March period of 2020-21 fiscal.

In May, Torrent Pharmaceuticals inked a pact to acquire four brands from Dr Reddy's Laboratories, which are Styptovit-E, Finast, Finast-T and Dynapress. As per the terms of the definitive agreement, Torrent Pharma will take over the manufacturing, marketing and distribution of these brands in India.