Description

BSE announces adjustments to F&O contracts for Nestle India Ltd due to 1:1 bonus issue with record date August 08, 2025.

Summary

BSE announces mandatory adjustments to all Futures and Options contracts for Nestle India Ltd (scrip code 500790) due to a 1:1 bonus issue. The adjustments will be implemented on August 07, 2025 (end of day) with ex-date August 08, 2025.

Key Points

  • Nestle India Ltd announces 1:1 bonus issue (1 bonus share for every 1 existing share)
  • Record date: August 08, 2025
  • Ex-date: August 08, 2025
  • Adjustment factor: 2.0 [(1+1)/1]
  • All F&O contracts will be adjusted automatically
  • Derivatives Asset Code: NESL

Regulatory Changes

Adjustments made in compliance with SEBI guidelines for F&O contract modifications due to corporate actions:

  • Strike Price: Divided by adjustment factor (2)
  • Market Lot: Multiplied by adjustment factor (2) - from 250 to 500
  • Position: Multiplied by adjustment factor (2)
  • Futures Price: Divided by adjustment factor (2), rounded to nearest tick size

Compliance Requirements

  • All equity derivatives segment members must note the automatic adjustments
  • Trading members should contact designated Relationship Managers for clarifications
  • No action required from traders - adjustments are automatic

Important Dates

  • August 07, 2025: Adjustment implementation (end of day)
  • August 08, 2025: Ex-date and record date for bonus issue

Impact Assessment

High impact on derivatives traders holding Nestle India positions. All existing F&O contracts will be automatically adjusted with doubled market lots and halved strike prices/futures prices. Position sizes will double automatically to maintain equivalent economic exposure.

Impact Justification

Major F&O contract adjustments affecting all positions in heavily traded stock