Billionaire Mukesh Ambani led Reliance Industries Limited’s (RIL) bonus share issue’s record date is likely to be in October 2024. To be eligible for the bonus issue, the investors will have to buy RIL shares latest one day before the record date. Since, all stocks in India now follow T+1 settlement cycle, so if investors buy RIL shares on the record date, then, they will not be eligible for the bonus issue. They will have to buy the scrip at least one day before the record date. Note that under T+1 settlement cycle, record date and ex-date are on the same day.
What is T+1 Settlement Cycle?
T refers to the day of the record date. So, T+1 means 24 hours from the day of the corporate action. While, ex-date is the day from which the stock will not carry the benefits of the record date. Like in case of RIL bonus share issue, whenever the record date will be announced, the shares will not carry the benefit of the bonus share issue from the record date.
RIL share price performance since bonus share announcement:
RIL share price has only fallen since the approval of the bonus share issue earlier this month. Taking into consideration, the opening price of the scrip on Monday, September 23, 2024 (Rs 2,980 apiece), RIL share price is down 0.17% since the approval of the bonus issue.
Will you get the stocks within 48 hours of RIL bonus share issue record date?
Recently, the capital market regulator Securities and Exchange Board of India (Sebi) had brought a new rule regarding credit of bonus shares in demat account of investors. According to the market watchdog, issuers must credit bonus shares within 48 hours of the record date. But this rule is in force from October 01, 2024. RIL bonus share issue was approved before Sebi’s diktat will be implemented. So, it is to been seen that the whether application of this rule implies to RIL or not? If it does imply, then, cheers for investors, they will get free shares with two days of te record date!
The oil to data conglomerate’s board at its 47th Annual General Meeting (AGM) had approved bonus share issue in the ratio of 1:1 on September 05, 2024. But the record date has not been finalized yet.
