Karuturi Networks calls for EGM to approve bonus issue

Karuturi Networks Ltd has announced that an Extra-Ordinary General Meeting (EGM) of the members of the Company will be held on April 02, 2007, inter alia, a sum of Rs 12,00,00,000/- out of the amount of Rs 20,32,85,510/- standing to the credit of Reserve & Surplus Account as at March 31, 2006 is to be capitalized and transferred from Share Premium Account, Profit & Loss Account under Reserves and Surplus to Share Capital and that the aforesaid sum of Rs 12,00,00,000/- be applied for allotment of Bonus Shares to the persons who, on the date fixed by the Directors as the "Record Date" shall be the holders of the existing Equity Shares of Rs 10/- each and such new Equity Shares out of the Company's un issued Equity Shares, credited as fully paid, be accordingly allotted as Bonus Shares to such persons respectively as aforesaid, in the proportion of 1 such new Equity Share for every 1 existing Equity Share held by such persons respectively on the said date, upon the footing that they become entitled thereto for all purposes as capital.

Further the 1,20,00,000 new Equity Shares of Rs 10/- each shall be subject to the Memorandum and Articles of Association of the Company and shall rank pari passu in all respects with, and carry the same rights as, the existing Equity Shares and shall be entitled to participate in full in any dividends to be declared for the financial year in which the Bonus Shares are allotted.

Source : Equity Bulls

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