Sandur Manganese shares to trade ex-bonus from today — All You Need To Know

Shares of Sandur Manganese & Iron Ores Ltd. will be in focus on Monday, September 22, as the stock will trade adjusted for its bonus issue of shares.

Earlier this year, the company had announced a bonus issue of shares in the ratio of 2:1, which means that shareholders will be entitled to receive two bonus shares for every one share held by them as on the record date.

Today is the record date for the bonus issue of shares. This means, that those who buy shares of the company today, will not be eligible for the bonus issue.

Here's how the bonus issue will work for shareholders:

For example, if you have 100 shares of Sandur Manganese at the end of Friday's trading session, you will be entitled to receive another 200 shares of the company (2 for 1 ratio), thereby taking your total number of shares held to 300.

The share price will also adjust in equal proportion, meaning that although the number of shares you hold increase, their value will remain the same.

This is the second bonus issue announced by Sandur Manganese in two years. Previously, it had issued five bonus shares for every one share held by shareholders (5:1).

Shares of Sandur Manganese ended Friday's trading session 1.1% higher at ₹477.6. The stock has gained 6.3% so far in the last one month, thereby taking its year-to-date gains to 14%.