Image Source: News18
Nestlé India Ltd. has stated that the Board of Directors is to meet on June 26, 2025, to consider and put to vote a proposal for a bonus share issue—a maiden attempt by the Indian arm of the Swiss fast-moving consumer goods major.
This potential move is a landmark, as Nestlé India has never issued bonus shares in its existence. The news follows the company's January 2024 share split, under which each ₹10 share was split into ten ₹1 shares, with the aim of increasing liquidity and retail participation.
The bonus issue, if approved, would reward shareholders with additional shares free of charge, typically in proportion to their current holdings. It also reflects the company's confidence in its good health and future growth direction.
Nestlé India shares closed at ₹2,313 on Thursday, down 1.2%, but have gained 6.6% since the beginning of the year even as they fell 4% in the previous month. Investors and analysts are closely watching it, as this move will enhance shareholder value as well as market sentiment.
Sources: CNBC TV18, Rediff MoneyWiz, CNBC Awaaz
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