Bonus Share News 2024: Eligibility Dates and Company Insights

Introduction: What’s the Buzz Around Bonus Share News 2024?

In 2024, bonus shares are making headlines once again as companies across sectors announce exciting share rewards to their existing shareholders. If you’re an investor or even a market enthusiast, the term “bonus share news 2024” is likely popping up in your newsfeed. But what are bonus shares, and why do companies issue them? More importantly, which companies have already made bonus share announcements this year? This article dives deep into the concept of bonus shares, covers the latest bonus share declarations for 2024, and lists key eligibility criteria, record dates, and strategic insights. Read till the end to make informed investment decisions.

What Are Bonus Share News 2024?

Bonus shares are additional shares issued by a company to its existing shareholders at no extra cost. These are typically given in a specific ratio, such as 1:2 (one bonus share for every two shares held). It’s a way for companies to reward shareholders without affecting the cash reserves.

Example:
If you own 100 shares and the company announces a 1:1 bonus, you’ll receive 100 extra shares, doubling your holding.

Why Do Companies Issue Bonus Share News 2024?

Companies issue bonus shares for several strategic reasons:

• To reward loyal shareholders without distributing cash dividends.
• To make shares more affordable by increasing liquidity (as the share price adjusts post-bonus).
• To signal strong financial health, boosting investor confidence.
• To comply with legal reserves-to-paid-up capital ratio under regulatory norms.

Bonus shares increase the number of outstanding shares but not the company’s market capitalization.

How Do Bonus Share News 2024 Impact Shareholders?

While bonus shares do not directly increase the shareholder’s wealth, they offer the following benefits:

• Enhanced number of shares held by the investor.
• Improved liquidity in the stock market.
• Psychological benefit, as receiving extra shares often feels rewarding.
• No immediate tax liability as they are not considered income when received.

However, the stock price adjusts after the bonus issue to maintain the same market capitalization.

Bonus Share News 2024 – Top Announcements So Far

1. Infosys Ltd – 1:1 Bonus Issue

Announcement Date: January 2024
Record Date: February 5, 2024
Ex-Bonus Date: February 2, 2024
Infosys declared a 1:1 bonus share issue after strong quarterly earnings, aiming to reward long-term shareholders.

2. Tata Elxsi – 2:1 Bonus Issue

Announcement Date: March 2024
Record Date: April 1, 2024
This bonus issuance boosted investor sentiment and increased retail participation.

3. Hindustan Aeronautics Ltd (HAL) – 1:2 Bonus Issue

Announcement Date: May 2024
Record Date: June 10, 2024
HAL rewarded its shareholders amidst robust defense sector growth.

4. Zomato Ltd – 5:1 Bonus Issue

Announcement Date: July 2024
Record Date: August 1, 2024
A move to bring down share price and attract more investors.

5. LTIMindtree – 1:1 Bonus Issue

Announcement Date: February 2024
Record Date: March 15, 2024
LTIMindtree capitalized on its strong performance with this generous issue.

Pro Tip: Always track bonus share news 2024 using trusted sources like NSE, BSE, or SEBI circulars.

Upcoming Bonus Share Record Dates 2024

Here’s a quick look at bonus shares with upcoming record dates:

Mark your calendars and ensure your holdings are in Demat form before the record date to be eligible.

Tax Implications of Bonus Share News 2024

One major advantage of bonus shares is that they are not taxed at the time of receipt. However, the capital gains from the eventual sale of these shares are taxable.

Key Points:

• No tax on receipt
• Cost of acquisition is considered as zero (or proportionally split if bonus shares are merged)
• Capital gains tax applies based on the holding period (short-term vs long-term)

Always consult with a certified tax advisor for personalized insights.

Should You Invest Based on Bonus Share News 2024 Announcements?

While bonus shares may sound attractive, investing only for bonuses can be risky. Here’s what to consider:

Pros:

• Shows company confidence
• Increases liquidity
• Rewards long-term holders

Cons:

• Price adjusts post-bonus
• No real increase in intrinsic value
• Can mislead retail investors if fundamentals are weak

Bottom Line: Use bonus share news 2024 as a supporting factor — not the sole reason — for making investment decisions.

Final Thoughts on Bonus Share News 2024

The year 2024 has already been exciting for equity investors with multiple high-profile bonus share announcements across various sectors. From IT majors like Infosys to new-age firms like Zomato, companies are finding ways to reward shareholders while enhancing liquidity and visibility in the market. If you’re serious about wealth creation, stay tuned to bonus share news 2024, monitor the record and ex-bonus dates, and make smart, fundamentals-driven investment decisions.

Frequently Asked Questions (FAQs)

1. What is a bonus share and how does it benefit me?

A bonus share is a free share given by a company to its existing shareholders. It increases the number of shares you hold, enhancing liquidity without any cost.

2. How can I check if a company has declared a bonus in 2024?

You can check the company’s official website, visit the NSE/BSE corporate announcements section, or follow financial news portals for bonus share news 2024.

3. Will the share price drop after a bonus issue?

Yes, the share price usually adjusts in proportion to the bonus ratio post-issue to maintain the same market capitalization.

4. Are bonus shares taxable in India?

Bonus shares are not taxed when received. However, capital gains tax will apply when you sell them, based on the holding period.

5. Is it wise to buy a stock just before the bonus record date?

Not always. Prices may fall after the record date. It’s better to analyze the company’s fundamentals before investing.