Description

BSE announces adjustments to F&O contracts of Kotak Mahindra Bank due to 1:5 stock split with record date January 14, 2026.

Summary

BSE has announced adjustments to all Futures and Options contracts of Kotak Mahindra Bank Ltd (Scrip Code: 500247, Derivatives Code: KOTB) following the company’s 1:5 stock split. The record date is January 14, 2026, and adjustments will be made at end of day on January 13, 2026. Each equity share of Rs. 5 will be subdivided into five equity shares of Rs. 1 each.

Key Points

  • Stock split ratio: 1:5 (one share of Rs. 5 split into five shares of Rs. 1)
  • Adjustment factor: 5
  • Ex-date: January 14, 2026
  • Adjustments effective: End of day January 13, 2026
  • All existing F&O contracts on KOTB will be adjusted
  • Strike prices will be divided by 5
  • Market lot will be multiplied by 5 (from 400 to 2000)
  • Positions will be multiplied by 5
  • Futures prices will be divided by 5

Regulatory Changes

Adjustments made in compliance with SEBI guidelines for Futures & Options contracts on announcement of corporate actions.

Compliance Requirements

  • Trading members must note the revised contract specifications
  • Members should contact designated Relationship Managers for clarifications
  • All positions and orders must reflect adjusted parameters post ex-date

Important Dates

  • January 13, 2026: Adjustments to be made at end of day
  • January 14, 2026: Ex-date and Record date for stock split

Impact Assessment

Strike Price Impact: All strike prices will be divided by 5. For example, a 2100 strike becomes 420, 2120 becomes 424, etc.

Market Lot Impact: Market lot increases from 400 to 2000 shares (multiplied by adjustment factor of 5), maintaining equivalent notional value.

Position Impact: All existing positions will be multiplied by 5 to maintain equivalent exposure.

Futures Price Impact: Futures prices will be divided by 5 and rounded to nearest tick size.

Trading Impact: High impact on all market participants holding KOTB derivative positions who must account for adjusted contract specifications in their risk management and trading systems.

Impact Justification

Mandatory adjustments to all F&O contracts affecting strike prices, lot sizes, and positions for actively traded derivative contracts