Centum Electronics Limited is a technology solutions provider headquartered in Bengaluru, India. The company’s board of directors has approved the allotment of 10 lakh (1 million) equity shares to the eligible employees of the company. The shares will be allotted at a price of Rs 115 per share. The allotment is subject to the approval of the shareholders of the company.
The share price of Centum Electronics jumped 9% to Rs 115.35 on the news of the allotment of shares to employees. The stock is currently trading at a market capitalization of Rs 1,350 crore.
The allotment of shares to employees is a positive development for Centum Electronics. It will help to boost the morale of the employees and align their interests with those of the company. The shares will also provide the employees with an opportunity to participate in the growth of the company.
Here are some of the reasons why the share price of Centum Electronics jumped on the news of the allotment of shares to employees:
- The allotment of shares is seen as a positive gesture by the company towards its employees.
- It shows that the company is confident about its future prospects and is willing to share its success with its employees.
- The shares will provide the employees with an opportunity to participate in the growth of the company.
- The allotment of shares is also seen as a way to attract and retain talent.
Overall, the allotment of shares to employees is a positive development for Centum Electronics. It is a good way to reward the employees for their hard work and to align their interests with those of the company.