Description

BSE announces adjustments to IOCL derivatives contracts due to interim dividend of Rs. 5.00 per share with ex-date December 18, 2025.

Summary

BSE will adjust all Futures and Options contracts for Indian Oil Corporation Ltd (IOCL) on December 17, 2025, due to an interim dividend payment of Rs. 5.00 per equity share. The record date is December 18, 2025, which will also be the ex-dividend date. Options strike prices will be reduced by Rs. 5.00, and futures prices will be adjusted by deducting the dividend amount from the reference rate.

Key Points

  • Indian Oil Corporation Ltd (Derivative Asset Code: IOCL, Scrip Code: 530965) declared interim dividend of Rs. 5.00 per share for FY 2025-26
  • Record date for dividend payment: December 18, 2025
  • Ex-dividend date: December 18, 2025 (Thursday)
  • Adjustments will be made on December 17, 2025 (Wednesday)
  • All existing Futures and Options contracts on IOCL will be adjusted
  • Adjustment follows SEBI Master Circular SEBI/HO/MRD/DP/CIR/P/2016/135 dated December 16, 2016

Regulatory Changes

No new regulatory changes. This adjustment is in line with existing SEBI guidelines and Exchange notice 20180710-26 regarding corporate action adjustments for stock options.

Compliance Requirements

For Trading Members:

  • Be aware of adjusted strike prices for options contracts effective December 18, 2025
  • Note adjusted futures base prices for trading from December 18, 2025
  • Contact relationship managers for further clarification if needed
  • Ensure systems account for the Rs. 5.00 adjustment in pricing and valuation

Important Dates

  • December 16, 2025: Notice issued
  • December 17, 2025: Adjustment day - modifications applied to all contracts at end of day
  • December 18, 2025: Ex-dividend date - adjusted prices effective for trading; Record date for dividend eligibility

Impact Assessment

Options Contracts:

  • All strike prices generated at end of December 17, 2025 will be reduced by Rs. 5.00
  • Adjusted strikes become effective for trading from December 18, 2025
  • Affects all available option series on IOCL

Futures Contracts:

  • Adjusted futures price = Daily mark-to-market settlement price on December 17, 2025 minus Rs. 5.00
  • Adjusted rate serves as base rate/previous close for December 18, 2025 trading
  • Applies to all futures contract months

Market Impact:

  • Standard dividend adjustment procedure with predictable price impact
  • Traders holding positions must account for the Rs. 5.00 adjustment in their strategies
  • No disruption to normal trading expected as this is a routine corporate action adjustment

Impact Justification

Standard dividend adjustment affecting all IOCL derivative contracts; material impact on option strike prices and futures pricing but routine corporate action procedure