Corporate Actions
Bonus, mergers, stock splits and more
Bonus shares are additional shares given by a company to its existing shareholders for free. It’s a way of rewarding you for being an investor without giving cash. 📥 These shares are added to your demat account automatically.
📘 Let’s understand with an instance:
💼 You hold 15 shares of DEF Ltd.
🗣️ The company has announced a bonus issue with a ratio of 2:3, meaning you will receive 2 additional shares for every 3 shares you currently own.
So, to find out how many bonus shares you get:
✏️ Divide your shares by 3, then multiply by 2.
📌 (15 ÷ 3) × 2 = 5 × 2 = 10 bonus shares.
After adding bonus shares:
You will have your original 15 shares plus 10 bonus shares.
🔢Total shares now = 15 + 10 = 25 shares.
🗓️ Important Note:
These bonus shares are automatically credited to your demat on T+2 working days from the Record Date. No action is needed from your side.
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