Description

BSE announces adjustment of all F&O contracts in Bharat Petroleum Corporation Ltd due to interim dividend of Rs. 7.50 per share, effective November 7, 2025.

Summary

BSE will adjust all Futures and Options contracts in Bharat Petroleum Corporation Ltd (BPCL) due to the company’s announcement of an interim dividend of Rs. 7.50 per equity share for FY 2025-26. The adjustments will be made on November 6, 2025 (ex-date: November 7, 2025) with the record date set as November 7, 2025. Options strike prices will be reduced by the full dividend amount, and futures prices will be adjusted by deducting Rs. 7.50 from the reference rate.

Key Points

  • Company: Bharat Petroleum Corporation Ltd (Derivative Asset Code: BPCL, Equity Scrip Code: 500547)
  • Dividend Amount: Rs. 7.50 per equity share (interim dividend for FY 2025-26)
  • Record Date: November 7, 2025
  • Ex-Date: November 7, 2025
  • Adjustment Date: November 6, 2025
  • All existing Futures and Options contracts on BPCL will be adjusted
  • Options: Full dividend value of Rs. 7.50 deducted from all strike prices
  • Futures: Adjusted price = reference rate minus Rs. 7.50

Regulatory Changes

This adjustment is implemented in pursuance of:

  • Exchange notice number 20180710-26 regarding Review of Adjustment of corporate actions for stock options
  • SEBI Master circular No SEBI/HO/MRD/DP/CIR/P/2016/135 dated December 16, 2016

Compliance Requirements

For Trading Members:

  • Be aware of adjusted strike prices for Options contracts effective November 7, 2025
  • Note adjusted base rate/previous close for Futures contracts effective November 7, 2025
  • Contact respective relationship managers for further details
  • Ensure systems are updated to reflect the adjusted contract specifications

Options Contract Adjustment:

  • Rs. 7.50 will be deducted from all strike prices generated at end of November 6, 2025
  • Adjusted strike prices will be available for trading from November 7, 2025

Futures Contract Adjustment:

  • Adjusted futures price = daily mark to market settlement price on November 6, 2025 minus Rs. 7.50
  • This adjusted rate will serve as base rate/previous close for trading on November 7, 2025

Important Dates

  • November 6, 2025: Adjustment implementation date; last cum-dividend trading day
  • November 7, 2025: Ex-dividend date; Record date for dividend eligibility; adjusted contracts begin trading

Impact Assessment

Market Impact:

  • High impact on all traders holding BPCL derivatives positions
  • All existing open interest in BPCL Futures and Options will be adjusted
  • Strike prices for Options will be reduced, affecting in-the-money/out-of-the-money status of positions
  • Futures contract valuation will be adjusted downward by Rs. 7.50

Operational Impact:

  • Trading members must ensure their systems recognize adjusted strike prices and futures base prices
  • Risk management systems need to account for the corporate action adjustment
  • Margin calculations may be affected due to changed contract specifications
  • Positions established before adjustment will have different economic characteristics post-adjustment

Trading Impact:

  • The adjustment maintains economic neutrality for existing position holders
  • New positions entered on or after November 7, 2025 will be at adjusted prices
  • Market participants should review their hedging strategies in light of the adjustments

Impact Justification

Mandatory adjustment to all existing F&O contracts in BPCL affecting strike prices and futures pricing, requiring immediate action by all derivatives traders with positions in this scrip.