Shakti Pumps 5:1 bonus issue ex-date on Monday. Do you own?

Shares of Shakti Pumps will be in focus today as the company has announced a bonus share issue in the ratio 5:1, for which the ex-date is November 25. This means today is the last day to buy the stock to be eligible for the bonus shares.

The company had announced the record date earlier this month.

“This is further to our letters dated October 7, 2024 and November 11, 2024 intimating the approval by the members for issue of bonus shares in the ratio of 5:1. In this regard, we wish to inform you that the Company has fixed Monday, November 25, 2024 as the Record Date for the purpose of determining the equity shareholders of the Company eligible for bonus equity shares of the Company,” said the company in a filing to the stock exchanges.

After the implementation of the T+1 framework, the record date and ex-date are the same in most cases unless there is a market holiday after the ex-date.

Shareholders who buy the stock at least one day before the ex-date are eligible for the bonus shares as settlement happens the next day. Those buying the stock on the ex-date are not eligible for the same.

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In the past, Shakti Pumps has issued bonus shares to its shareholders once in 2011 wherein the shareholders received one additional share for each existing share of the company held.

A 5:1 bonus share issue means that the shareholders will be credited with 5 new shares of the company for each for existing share that they hold.

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