TVS Motor to issue preferential bonus shares in 4:1 ratio

Assuming the existing number of equity shares of the company, around Rs 1,900 crore will be utilised from general reserves or earnings of the company.

The issued bonus preference shares will be listed on both the exchanges. The scheme is subject to receipt of approval from exchanges and other relevant regulators.

Further, the company has also announced changes to its board with the appointment of two new independent directors subject to shareholders’ approval.

The two new members, who will join the board as independent directors, are Chennai-based Sanmar Group Chairman Vijay Sankar, and Chairman of Shailesh Haribhakti & Associates Shailesh Haribhakti.

Kuok Meng Xiong, independent director of the company, will step down effective close of business hours of the ensuing annual general meeting, owing to his increased business commitments and personal reasons.

"His insights over his three-year stint were invaluable and instrumental in helping script the TVS Motor growth story," the company said.

The appointment of the two new independent directors will add valuable experience to the board and raise the company’s already rigorous corporate governance standard.

"I am confident that our two new independent directors have the credentials to guide TVS Motor to new heights. Their insight and experience will prove invaluable as we script a new chapter of success for TVS Motor," said Sir Ralf Speth, chairman, TVS Motor.

On Wednesday, closed 0.19% lower at Rs 2,037.95 on the NSE.