Synopsis
On March 30, BSE Limited announced a 2:1 bonus share issuance, granting shareholders two complimentary shares for each share held. This marks the second bonus share distribution since its 2017 listing, reinforcing the company’s commitment to rewarding investors.Key Takeaways
- BSE announces a 2:1 bonus share issue.
- Second bonus since 2017 listing.
- Shareholders receive two free shares for each held.
- Eligible shareholders must own shares before the ex-date.
- Stock price surged by 16.09% recently.
Mumbai, March 30 (NationPress) BSE Limited has officially declared a 2:1 bonus share issue, which translates to shareholders receiving two additional shares for every one share they hold.
This decision was ratified by the company’s board during a recent meeting, with the record date for the bonus shares to be communicated at a later time.
This marks the second instance of a bonus share issuance since BSE's 2017 listing, the last occurrence being in 2022 when the exchange similarly granted shares at a 2:1 ratio.
Shareholders who own BSE shares prior to the ex-date will qualify for the bonus shares. Bonus shares are provided at no additional cost to existing investors and are typically issued to leverage free reserves, enhance the company’s paid-up capital, and diminish its reserves.
BSE Limited has a commendable track record of rewarding its investors. Since going public, it has disbursed over Rs 170 per share in dividends and has executed two buybacks, one in 2019 and another in 2023.
On Friday, BSE Limited shares experienced a notable increase of 16.09 percent, closing at Rs 5,438. However, the stock has shown minimal movement in 2025 up to this point.
This uptick in share price coincided with a proposal from the Securities and Exchange Board of India (SEBI) aimed at standardizing expiry days for equity derivatives across stock exchanges.
This increase allowed the stock to surpass its 200-day moving average. SEBI has proposed that all exchanges select either Tuesday or Thursday as the expiry day for derivative contracts, including stock and index options and futures.
This initiative is anticipated to foster predictability for traders, mitigate concentration risk, and enhance market stability.
Analysts at Jefferies project that this proposal may be advantageous for BSE. If the NSE opts for Thursday expiries while BSE maintains its Tuesday expiries, it could support BSE in retaining its market share.
Jefferies has also estimated that the effect on BSE’s earnings per share (EPS) would be around 12 percent, which is less severe than previous apprehensions.
Nonetheless, analysts express some uncertainty regarding open interest limits. Despite a 3 percent drop since the year began, BSE’s stock has appreciated by 104 percent over the past year.
