What Are Bonus Shares?
Bonus shares are additional shares given to the current shareholders of a company at no cost, based on the number of shares they already own. These shares are allocated from a company’s profits or reserves, without any monetary cost to the shareholders.
Upcoming Bonus Shares For This Week
COMPANY | Bonus Ratio | Announcement Date | Record Date | Ex-Bonus Date |
Padam Cotton Yarns Ltd | 2:3 | 28-02-2025 | 18-03-2025 | 18-03-2025 |
SBC Exports Ltd | 1:2 | 28-02-2025 | 10-03-2025 | 10-03-2025 |
Introduction Of Upcoming Bonus Shares 2025
Padam Cotton Yarns Ltd
Padam Cotton Yarns Ltd is a leading textile company specialising in the production and supply of cotton yarns. The company is known for its high-quality products and has a strong presence in both domestic and international markets. It focuses on sustainable and innovation-driven production processes.
SBC Exports Ltd
SBC Exports Ltd is a multi-sector company offering textile manufacturing, IT services, and tourism-related services. The company is renowned for its quality, timely delivery, and customer satisfaction. With its diverse business portfolio, it focuses on steady growth and excellence at a global level.
Upcoming Bonus Shares For This Week 2025 – FAQs
How Do Bonus Shares Work?
Bonus shares work by a company issuing additional shares to its existing shareholders at no cost. These shares are given out in proportion to the number of shares already owned.
Bonus shares are typically issued from the company’s retained earnings or accumulated reserves and are aimed at rewarding shareholders without requiring them to pay anything.
What Is A Record Date?
The record date is the specific date set by the company to determine which shareholders are eligible to receive the bonus shares.
Why Do Companies Offer Bonus Shares?
Companies offer bonus shares to reward their existing shareholders without distributing cash dividends. By issuing bonus shares, companies can capitalize on their accumulated earnings or reserves to increase the number of outstanding shares.
Is Dividend Paid On Bonus Shares?
No, dividends are not paid on bonus shares. Since bonus shares are issued at free cost to the existing shareholders, they do not represent additional earnings or profits that would warrant a dividend payment.
Are Bonus Shares Taxable?
Bonus shares are not taxable at the time of issue for shareholders. However, if shareholders sell these shares, they may be subject to capital gains tax.
Disclaimer: The above article is written for educational purposes, and the companies’ data mentioned in the article may change with respect to time. The securities quoted are exemplary and are not recommendatory.