Upcoming Bonus Shares 2021
Bonus Shares are shares issued by a company to its current shareholders as fully paid shares FREE of charge. A bonus issue is usually based upon the number of shares that shareholders already own.
View Upcoming Bonus Shares 2021 India
|COMPANY NAME||Bonus Ratio||Ex-Date||Record Date|
|East West Holdings||1:4||30-03-2021||31-03-2021|
|Astral Poly Technik||1:3||18-03-2021||19-03-2021|
|Banka Bioloo Ltd||3:2||08-09-2020||09-09-2020|
For Example, If a company announces a 1:5 Bonus Share Issue, So Five free shares will be given for each share held by a shareholder. So, if a company had 10 Thousand Shares outstanding before the Bonus, it will have 60 Thousand Shares outstanding after a 1:5 Bonus Issue.
Benefit of Bonus Share Issue to Shareholders :
Bonus Issue increases the number of outstanding shares & decreases the stock price, making the stock price look more affordable for retail investors. The retailer or small investors can easily afford to buy stocks of low price. So, There is also a probability that the stock price may go up as more investors may rush to buy stocks at lower rates.
When to buy a stock to get the Benefits of Bonus Issue?
All the shareholders holding a company’s shares on the record date are eligible to get bonus declared by the company. The ex-date is usually set one business day prior to the record date, since India follows a T+2 rolling settlement for delivery of shares.
Shares that are bought at least 1 day before the ex-date are the ones eligible for receiving the Bonus Shares announced by a company.