Ashok Leyland Ltd. will be of interest on Tuesday as it marks the last session for investors to buy shares before the record date for a bonus issue.
The board has proposed an issue of bonus shares in the ratio of 1:1. One bonus equity share of face value of Rs 1 will be given to each held. The record date is set as July 16.
To be eligible for a bonus issue, investors should pay attention to the record date, which is used to determine eligible shareholders. The company announces this date in advance, and only those who hold the shares in their demat account as of this record date will be eligible for the bonus allotment.
Under India's T+1 settlement cycle, investors must buy the shares at least one trading day before the record date to be eligible. This means that purchases made on the record date itself will not reflect in the demat account in time.
The deemed date of allotment of Ashok Leyland bonus shares will be Thursday, July 17, and these shares will be made available for trading on the next working day of allotment i.e. Friday, July 18.
Over 14 lakh retail investors holding nominal share capital of up to Rs 2 lakh own 9.38% equity.
Shares of the company closed 2.7% higher at Rs 252.95 per share on the NSE on Monday. The stock has risen 14% so far this year and 11% in the last 12 months.
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