Nestle India's First-Ever Bonus Issue's Record Date This Week—Details Here
In the last month, Nestle had also issued its final dividend for fiscal 2025 at Rs 10 per equity share.
Nestle India Ltd. is set to disburse bonus shares to its stakeholders.
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.
Nestle India's First Bonus Issue
The board of Nestle India has recommended an issue of bonus shares in the ratio of 1:1 at a face value of Re 1 each. The record date for the same is set as Aug. 8.
This marks the first issuance of bonus shares by the global food business company's India subsidiary.
In the last month, Nestle had also issued its final dividend for fiscal 2025 at Rs 10 per equity share. The company had marked an ex-date of July 4 for the development, while payout for the same was carried on July 26.
Shares of the company closed 1.20% higher at Rs 2,276.50 per share, compared to a 0.82% fall in the benchmark NSE Nifty 50 on Friday. In the last 12 months, the company's share price has declined 8.35%, but returns in the year-to-date period have shot up nearly 5%.
Out of 40 analysts tracking the company, eight maintain a 'buy' rating, 20 recommend a 'hold,' and 12 suggest 'sell,' according to Bloomberg data. The average 12-month consensus price target implies an upside of 4.7%.
