Description

Board approves 1:5 sub-division and 4:1 bonus issue with record date October 31, 2025 and deemed allotment date November 3, 2025.

Summary

Fineotex Chemical Limited (Scrip Code: 533333) has announced a sub-division and bonus issue of equity shares. The Board has fixed October 31, 2025 as the record date for determining shareholder eligibility. The bonus issue will be in the ratio of 4 new equity shares for every 1 existing equity share held. The deemed date of allotment is November 3, 2025, with the new shares available for trading from November 4, 2025.

Key Points

  • Record date for sub-division and bonus issue: October 31, 2025
  • Bonus ratio: 4 new equity shares for every 1 existing equity share (4:1)
  • Total number of bonus shares to be issued: 91,66,00,720
  • Deemed date of allotment: November 3, 2025
  • Effective listing date: November 4, 2025
  • ISIN: INE045J01026
  • Distinctive numbers: 229150181 to 1145750900
  • Auto Corporate Action will be set up with both CDSL and NSDL depositories
  • Corporate action to be completed by 12 PM on T+1 day (November 1, 2025)
  • Shares available for trading from Beginning of Day (BOD) on T+2 day (November 4, 2025)

Regulatory Changes

No regulatory changes are introduced by this circular. This is a standard corporate action undertaken by the company in accordance with existing regulations.

Compliance Requirements

  • Company must set up Auto Corporate Action with both CDSL and NSDL depositories
  • Corporate action execution must be completed by 12 PM on the next working day after record date (T+1)
  • Company undertakes to resolve any complaints arising from failure to complete formalities for Auto Corporate Action execution
  • All formalities must be completed to ensure shares are available for trading from BOD of T+2 day

Important Dates

  • October 29, 2025: Circular issued
  • October 31, 2025: Record date for determining eligible shareholders
  • November 1, 2025: Corporate action execution deadline (12 PM) - T+1 day
  • November 3, 2025: Deemed date of allotment for bonus shares
  • November 4, 2025: Effective listing date; shares available for trading from BOD - T+2 day

Impact Assessment

Shareholder Impact: Existing shareholders as on the record date will receive 4 additional shares for every 1 share held, resulting in a 5x increase in shareholding quantity. While the number of shares increases, the proportionate ownership and total value remains the same, with expected price adjustment post-bonus.

Market Impact: The issuance of over 91.66 crore bonus shares will significantly increase the company’s outstanding shares and improve liquidity. The stock price is expected to adjust proportionally on the effective listing date.

Trading Impact: Shares will be available for trading from November 4, 2025 (BOD). Investors should note the adjusted price and increased float from the bonus issue.

Liquidity Impact: The substantial increase in outstanding shares (5x post-bonus) is likely to improve trading liquidity and reduce the share price to a more accessible range for retail investors.

Impact Justification

Major corporate action involving both sub-division and significant bonus issue (4:1 ratio) affecting 91.66 crore shares with immediate trading implications for shareholders.