Reliance Power Bonus

• Reliance Power Ltd, whose shares got listed last week below its offer price after a mega initial public offer (IPO), have plans to issue bonus shares to all shareholders, except the promoters.
  The surprise move is said to be in response to the general feeling among retail investors who felt betrayed as the shares continue to trade below its offer price.
• The board would decide on the ratio of bonus shares and other details.
• The promoters, who currently hold 90 per cent equity, would be accepting a dilution of their holding. Post-bonus, the public holding in the company will go up to that extent from the current ten per cent.