Nestle India Sets Last Day for Investors to Buy Ahead of 1:1 Bonus Share Issue

Nestle India's first-ever bonus issue record date is tomorrow, August 7. Shareholders must own the stock by today to receive the additional shares. The 1:1 bonus issue will double the number of outstanding shares, granting one free share for every one held. This move aims to reward long-term shareholders and improve accessibility, especially at a time when the company's stock has remained high-priced in comparison to its peers in the FMCG sector.

Nestle India Ltd is set to make history with its first-ever bonus issue, scheduled for August 7, 2025. This 1:1 bonus issue, where shareholders will receive one additional share for every share held, aims to reward long-term investors and enhance accessibility to the stock [1].

The record date for this bonus issue is August 7, 2025, meaning shareholders must own the stock by today to be eligible for the additional shares. This move comes at a time when Nestle India's stock has remained relatively high-priced compared to its peers in the fast-moving consumer goods (FMCG) sector, making it less accessible to retail investors.

The bonus issue, which will double the number of outstanding shares, is a strategic move by the company to boost shareholder value and liquidity in the stock. It is also seen as a positive signal of the company's financial health and confidence in its future prospects.

Nestle India's decision to implement a bonus issue follows a series of strong financial performances. The company has been consistently delivering robust earnings growth, which has contributed to its increasing market capitalization. This move is expected to attract further investor interest, particularly from long-term shareholders who have been holding the stock for an extended period.

The 1:1 bonus issue is a significant event for investors, as it will dilute the existing shares, potentially leading to a decrease in the price per share. However, this dilution is often offset by the increase in the number of shares held, which can result in a more liquid market and improved accessibility for retail investors.

In conclusion, Nestle India's 1:1 bonus issue is a strategic move that aims to reward long-term shareholders and enhance the accessibility of the stock. As the record date approaches, investors should carefully consider their holdings and the potential impact of the bonus issue on their portfolio.

References:
[1] https://www.dsij.in/dsijarticledetail/dividend-and-a-bonus-issue-to-track-key-corporate-actions-from-august-4-to-8-2025-id003-51317-1