Bazel : International Shareholders Clear Bonus Issue at Extraordinary General Meeting

Bazel: International Limited has concluded its Extraordinary General Meeting with shareholders endorsing all resolutions placed before them, marking a key corporate milestone for the BSE-listed company. The meeting was held at the company’s registered office and saw broad support for the proposals outlined in the official notice, reflecting continued shareholder confidence in the firm’s financial direction and governance framework.

Shareholders Approve One-for-One Bonus Issue

A central item on the agenda was the proposal to issue bonus equity shares to existing shareholders. Members approved a 1:1 bonus issue, under which investors will receive one fully paid-up equity share of face value INR 10 for every equity share already held. The approval is subject to the completion of statutory and regulatory requirements, in line with prevailing corporate and securities laws.

Regulatory Compliance and Listing Process

The company stated that it will move ahead with all required steps to complete the allotment and listing of the bonus shares. The new shares will be listed on the Bombay Stock Exchange, where Bazel International’s equity shares are currently traded. The process will follow the applicable provisions of the Securities and Exchange Board of India regulations, the Companies Act, 2013, and other relevant rules. All bonus shares will be issued in dematerialised form and credited directly to eligible shareholders’ demat accounts.

Record Date to Be Announced Separately

Bazel International clarified that the record date for determining shareholder eligibility will be announced at a later stage. This date will establish which investors are entitled to receive the bonus shares, in accordance with standard market practice and regulatory norms.

Use of Reserves and Financial Position

As of September 30, 2025, the company reported approximately INR 47.08 crore in its securities premium account and free reserves. From this amount, up to INR 6.00 crore will be capitalised to facilitate the bonus issue. The management noted that sufficient reserves will remain available to support day-to-day operations, planned investments, and longer-term growth initiatives.

Management Commentary on the Decision

Commenting on the outcome of the meeting, Managing Director Pankaj Dawar described the bonus issue as a reflection of the company’s financial strength and balance sheet stability. He stated that the decision underscores the board’s confidence in Bazel International’s business model and long-term strategy, while maintaining adequate financial flexibility to fund operations and future expansion.

Strategic Intent Behind the Bonus Issue

The company emphasised that the bonus issue is not intended merely to expand its equity base. Instead, it is positioned as a signal of confidence in the company’s strategic direction and future prospects. Management added that the issuance will not affect Bazel International’s ability to meet its working capital needs or operational commitments, which continue to be managed through structured and adequately funded plans.

Company Background and Business Expansion

Incorporated in 1982, Bazel International Limited is a Non-Banking Financial Company listed on the BSE. In recent years, it has pursued a strategy of diversifying beyond financial services by acquiring operating businesses with established manufacturing operations. A notable step in this transition was the acquisition of Arur Footwear Limited through the corporate insolvency resolution process.

Focus on Integration and Long-Term Value

Following the acquisition, the company has been working on operational consolidation and brand development within its footwear business. Arur Footwear is in the process of building a consumer-oriented product portfolio aimed at the value and mid-value segments of the market. Bazel International views this integration as part of a broader effort to improve asset utilisation, build operating scale, and deliver sustainable long-term value through disciplined capital allocation and governance-led execution.