Bonus Share Issue This Week: Bharat Rasayan — Check Record Date

Bharat Rasayan Ltd. will trade ex-record on Friday, Dec. 12 for its bonus issue of equity shares. The company has also chosen the same day as record date for stock-split.

Bharat Rasayan will issue one free bonus equity share with a face value of Rs 5 for every one held, according to an exchange filing.

As of Sept 30, Bharat Rasayan has 41.55 lakh shares outstanding, according to data on National Stock Exchange.

Dec 12 is the record date for both the stock split and bonus share issuance. The record date is important because shareholders who will have the stock 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 prior the record date to be eligible.

Bharat Rasayan will allot the bonus shares on Dec. 15. The company will submit the requisite documents to the despositories for the credit of bonus shares by 12 p.m. on that day. From the next day onwards, the shares will be available for trading.

This the first time when Bharat Rasayan is issuing bonus shares since 2004 when it started trading on BSE. The stock was listed on National Stock Exchange in 1995.

Moreover, the company is sub-dividing every share of Rs 10 face value into two shares of Rs 5 each through a stock split.

Bharat Rasayan share price settled 3.16% down at Rs 10,050 apiece on Friday. The stock climbed to a 52-week high of Rs 12,121 apiece on Aug 13, while it touched the 52-week low of Rs 8,798.50 apiece on May 29.

On a year-to-date basis, Bharat Rasayan share price rose 10.29%. In five years, the stock surged 97.5%.

The company has market capitalisation of Rs 4,286.19 crore.