Bonus Share Alert: HDFC Group stock to reward more than 4 lakh retail shareholders today

Shares of HDFC Asset Management Company Ltd. will be in focus on Wednesday, October 15, ahead of its board meet to consider a bonus issue of shares.

The board will also be meeting today to consider its results for the September quarter.

This will be the first instance that HDFC AMC will be issuing bonus shares to its shareholders since its listing back in 2018. Record date for the proposed bonus issue of shares has not been disclosed.

While HDFC AMC has not issued any bonus shares to its shareholders before today, it has regularly rewarded them with dividend payouts. Since 2018, the company has paid more than ₹330 per share as dividend to its shareholders.

HDFC AMC is yet to disclose its shareholding pattern for the September quarter, but based on the June shareholding uploaded on the Bombay Stock Exchange, over 4 lakh small retail shareholders, or those with an authorised share capital of up to ₹2 lakh had a 6.51% stake in the company.

Promoters of the company have a 52.4% stake at the end of the June quarter.

Shares of HDFC AMC ended 1.3% lower on Tuesday at ₹5,531. Although the stock is still a few percentage points away from its record high, it is still up 5x from its issue price of ₹1,100 per share.