1:1 Bonus Share - Smallcap Auto Stock To Trade Ex-Date On Monday: Do You Own?

Shares of Banco Products (India) are in focus as the company approaches its record date for a 1:1 bonus share issue, scheduled for December 30, 2024. Investors who have the shares of the company in their demat accounts by Monday, December 30, 2024, will be eligible to receive the 1:1 bonus share of Banco Products.

Banco Products: Bonus Share Details

In its filing on the bourses, Banco Products announced that shareholders holding equity shares as of December 30, 2024, will receive one bonus share for every share they own. The company's board and members approved this bonus issue in November and December 2024.

“This is further to our letters dated 13th November 2024 and 20th December 2024 intimating the decision of the Board of Directors and the Members of the Company, respectively, for approval to issue Bonus Shares in the ratio of 1:1 and under the Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) (Third Amendment) Regulations, 2024, we wish to inform that the Company has fixed Monday, 30th December 2024 as the Record Date to determine the equity shareholders of the Company eligible for bonus equity shares of the Company,” the company said in an exchange filing.

This is the first bonus share issue from Banco Products since 2007.

Eligibility Criteria for Shareholders

To qualify for the bonus shares, investors must purchase shares at least one day before the ex-date. Settlement occurs the following day, meaning shares bought on the ex-date will not qualify for bonus shares, dividends, or splits.

What does 1:1 Bonus Share Mean?

A 1:1 bonus share issue means shareholders will receive one additional share for each share they already hold, effectively doubling their shareholding.