Bajaj Finance will issue four bonus shares to its shareholders for every one share held as on the record date. This will be subject to shareholder approval through a postal ballot.
This is the first instance in nine years that the company will be issuing bonus shares. Back in 2016, the company had issued one bonus share for every one share held by its shareholders.
Bajaj Finance’s board also approved a 1:1 stock split split, where one share of ₹2 will be split into two shares of ₹1 each. Bajaj Finance had earlier split one share of ₹10 in to five shares of ₹2 each back in 2016.
A stock split is generally considered by a company to increase its outstanding shares, and also improve trading liquidity by making the stock more affordable to its shareholders.
The exercise of bonus shares and the stock split will be completed on or before June 27, 2025, Bajaj Finance said in its exchange filing.
Bajaj Finance’s board has also approved a dividend of ₹44 per share as the final dividend for financial year 2025, which is the highest on record. Additionally, it has also announced a special dividend of ₹12 per share, as a result of the one-time gain it had by selling some stake in its subsidiary Bajaj Housing Finance through via its IPO last year. This takes the total dividend for shareholders to ₹56 per share.
Last year, Bajaj Finance had declared a final dividend of ₹36 per share, which until today, was the highest on record.
Shares of Bajaj Finance ended little changed on Tuesday at ₹9,105, close to its record high of ₹9,660.
