BSE Announces 2:1 Bonus – A Look Back at Its Bonus History

On March 30, 2025, the Bombay Stock Exchange (BSE) announced a 2:1 bonus issue, which means eligible shareholders will receive two bonus equity shares for every one share they currently hold. This issuance is subject to shareholder approval via postal ballot.

In light of this development, let’s take a closer look at BSE’s history of issuing bonus shares.

BSE’s Bonus History at a Glance

BSE has a brief but notable history of issuing bonus shares since its IPO. The latest announcement came on March 30, 2025, where the company declared a 2:1 bonus issue—granting two bonus shares for every one share held, with the ex-bonus date yet to be announced.

Prior to this, BSE had issued bonus shares on February 8, 2022, with an ex-bonus date of March 21, 2022, also in a 2:1 ratio. 

Meanwhile, BSE has consistently demonstrated its commitment to rewarding shareholders through regular dividend payouts. Over the years, the company has maintained a steady track record of issuing final dividends annually.

Track Record

Since its listing in 2017, BSE has consistently rewarded its shareholders through a mix of dividends and share buybacks:

• Dividends totalling over ₹170 per share have been paid out over the years.
  
• Buybacks were executed twice — once in 2019 and again in 2023.
  

This consistent shareholder-first approach demonstrates BSE’s focus on distributing its financial gains to investors while also maintaining capital efficiency.

Why Do Companies Issue Bonus Shares?

Bonus shares are issued from a company’s free reserves. While they do not bring in fresh capital, they increase the number of outstanding shares and enhance liquidity. 

From an accounting perspective, they reduce reserves and increase paid-up capital. These shares are distributed at no cost to existing shareholders, hence often referred to as “free shares.” Bonus issues can also make the stock more affordable, attracting a wider base of retail investors.

Read More: Who Is Eligible For BSE’s Bonus Shares?

BSE Share Price Performance

On April 7, 2025, BSE Limited witnessed a sharp decline, falling by 6.66% at 2:55 PM to an intraday low of ₹4,978.35 before recovering slightly to trade around ₹5,150.

The stock had opened at ₹5,000.05, significantly lower than its previous close of ₹5,517.45, indicating a gap-down start. It touched a high of ₹5,250 during the session, but overall sentiment remained weak.

Conclusion

With a history of strong investor-friendly moves since its listing, BSE continues to position itself as a company focused on value distribution. While the bonus issue awaits shareholder approval and the record date is yet to be announced, this development reinforces BSE’s commitment to its shareholders.

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.

Investments in the securities market are subject to market risks, read all the related documents carefully before investing.