EIL hits upper limit after bonus issue decision

Public sector firm Engineers India Ltd (EIL) today hit the upper limit at Rs 2,079.70 on the Bombay Stock Exchange, a day after the government approved issue of two bonus shares and 10 per cent stake sale in the company through a follow-on-public-offer.

Shares of EIL hit the upper limit at Rs 2,079.70 after opening the trade, up 20 per cent on the BSE and on the National Stock Exchange its stock climbed 20 per cent at Rs 2,082.85.

A total of 74,398 shares of EIL changed hands on both the bourses.

Yesterday, the Cabinet Committee on Economic Affairs (CCEA) has approved selling the government's 10 per cent stake in EIL through FPO route and also splitting every share of Rs 10 into two shares of Rs 5 each and paying a special dividend of 1,000 per cent (Rs 100 per share).