Dear Investors,
Paushak Limited is all set to reward its shareholders with two major corporate actions – a stock split and a bonus issue – aimed at enhancing liquidity, making shares more affordable, and increasing shareholder value. Here’s the complete breakdown:
Eligibility: Only shareholders who buy shares on or before 1st October 2025 will be eligible for the stock split and bonus shares (Record Date: 3rd October 2025)
- Important: Since 2nd October is a market holiday, the last day for shares to appear in your account for eligibility is 1st October 2025.
Corporate Action Details
- Type: Stock Split + Bonus Issue
- Stock Split Ratio: ₹10 → ₹5 (1:2) – each existing share will be split into two, reducing the per-share face value and making shares more accessible to retail investors.
- Bonus Issue Ratio: 3:1 – for every 1 share you hold after the stock split, you will receive 3 additional shares absolutely free of cost.
- Record Date / Effective Date: 3rd October 2025
What this means: If you hold 1 share today, after the stock split you will have 2 shares, and then you will receive 6 more bonus shares, totaling 8 shares for every original share held. Your total investment value remains unchanged, but your number of shares increases significantly.
Key Dates at a Glance
| Date | Event |
|---|---|
| 3 Oct 2025 | Record Date & Corporate Action Effective |
How It Impacts You as a Shareholder
-
Your total investment value does not change. The market adjusts the price per share to account for the split and bonus.
-
Example: Owning 100 shares before the split →
- After 1:2 stock split: 200 shares
- After 3:1 bonus issue: 600 additional shares
- Total shares after both actions: 800 shares
What Changes on the Record Date (3rd Oct 2025)
| Metric | Pre-Action | Post-Action |
|---|---|---|
| Outstanding Shares | 30.82 lakh | 2.46 crore (after split + bonus) |
| Face Value | ₹10 | ₹5 |
The exact market price will adjust to reflect both the stock split and the bonus issue, so while your share count multiplies, the total value remains the same.
Understanding Paushak Limited
Paushak Limited is a specialty chemicals manufacturer with a strong financial position and a history of shareholder-friendly policies. The company’s board of directors has decided to implement these corporate actions to:
- Enhance stock liquidity and market accessibility
- Broaden the shareholder base
- Reward existing investors without any additional investment
Have any thoughts or suggestions for us? Feel free to share them in the comments below!
Happy Investing,
Team 5paisa!