Two companies will have their bonus shares’ record date this week. Shares of Concord Control Systems Ltd. and Welcure Drugs & Pharmaceuticals Ltd. will trade at record date at the end of the week and they will disburse bonus shares to their respective stakeholders.
Investors who want to be eligible for a bonus issue should pay attention to the record date, which is used to determine eligible shareholders.
The company announces this date in advance, and only those who hold the shares in their demat account as of this record date will be eligible for the bonus allotment. Under India’s T+1 settlement cycle, investors must buy the shares at least one trading day before the record date to be eligible.
This means that purchases made on the record date itself will not reflect in the demat account in time. The board of Concord Control Systems Ltd. had recommended an issue of bonus shares in the ratio of 3:5 new fully paid-up equity shares. This means that shareholders will receive five new fully paid-up equity shares for every three shares they hold, subject to shareholder approval. The record date for the same is set as Oct. 16.
