Bonus Issue of Shares: GRM OVERSEAS LTD

Note: As informed by the company, 12,27,04,000 bonus equity shares are proposed to be allotted on 26 December 2025, in line with the approved bonus ratio.

Example: Impact on Your GRM Overseas Holdings

Here’s how the 2:1 bonus issue may impact an investor’s shareholding:

• If you hold 1 share, you will receive 2 bonus shares, increasing your total holding to 3 shares.

• If you hold 10 shares, you will receive 20 bonus shares, taking your total holding to 30 shares.

• If you hold 100 shares, you will receive 200 bonus shares, raising your total holding to 300 shares.

While the market price of the stock will adjust post the bonus issue, the overall investment value remains proportionately unchanged, ensuring no dilution of shareholder wealth.

What Is a Bonus Issue?

A bonus issue is a corporate action in which a company distributes additional shares to its existing shareholders free of cost by capitalizing a portion of its accumulated reserves.

Bonus issues typically indicate:

• A strong balance sheet position

• Management’s confidence in future growth

• A shareholder-friendly capital allocation approach

• An effort to improve liquidity and market participation

Conclusion

The 2:1 bonus issue announced by GRM OVERSEAS LTD underlines the company’s commitment to rewarding its shareholders and strengthening market liquidity. This corporate action is expected to:

• Increase the number of outstanding equity shares

• Enhance liquidity and trading volumes

• Improve affordability for retail investors

• Reinforce long-term shareholder confidence

Overall, the bonus issue aligns with the company’s objective of sustainable growth and long-term value creation for its investors.