This is the first bonus issue of Nestle India since 1996. File | Photo Credit: Reuters
The Board of FMCG manufacturer Nestle India approved the issue of bonus equity shares to its current shareholders on Thursday (June 26, 2025.
Nestle India said in a regulatory filing, “The bonus equity shares of the inscribed value of RE.1 will be fully released for equity shares of the inscribed value of RE.1 organized by the company members.”
However, “the record date will be announced in the appointed time to determine the rights of the members of the company to achieve the bonus equity shares,” he said. On June 19, Nestle announced that the company’s board would consider the issue of bonus shares.
The Board of Nestle India, which is also holding his annual general meeting (AGM) on Thursday (June 26, 2025), approved the issue of 1: 1 bonus share under the final approval in the extraordinary general meeting (EGM) held by Nestle India on 24 July, informed his outgoing chairman and managing director Suresh Narayan.
Shri Narayanan said during his address at AGM, “The board of directors have organized an equity share, or an equity share … which is subject to the approval of members in the EGM to be held on July 24, 2025.”
This is the first bonus issue since 1996, with a subdivision of shares and NSE listing in 2024. “We believe that we have fulfilled the desire of all shareholders for a long time,” he said it would benefit more than 1.6 lakh small shareholders in less than five shares.
The company believes that the proposed issue of bonus equity shares recognizes the “stable support and loyalty” of shareholders during the company’s development and change journey. “In addition, this retail investor will expand the participation and increase the liquidity of the shares,” he said.
After this announcement, Nestle India shares jumped about 1% in the morning trades. Nestle India shares were trading up to 0.94%on BSE at 2,426.95.
Published – 26 June, 2025 12:43 pm IST