- Bonus shares are given to existing shareholders free of charge, based on the number of shares they currently hold. The allotment of bonus shares is usually done in a fixed ratio, such as 1:1, 2:1, 3:1, and so on.
- To be eligible for bonus shares, shareholders must hold shares on the ex-date/record date, i.e. T+1 settlement cycle.
- It takes around 15 days from the record date for bonus shares to be credited to the shareholder's demat account.
- Shareholders receive a notification from CDSL when the bonus shares are credited to their demat account.
- The bonus shares are first credited under a temporary ISIN and will not be allowed for trading purposes immediately . It usually takes around 4-5 days for the shares to move from the temporary ISIN to the permanent ISIN after receiving approval for trading.
- Bonus shares are reflected under the holding report as LST PEN which means listing is pending (Unregister Symbol shows temporary ISIN)
- Such shares(LST PEN) cannot be sold or are not available for yet.
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