Description

BSE announces adjustments to F&O contracts for GAIL (India) Ltd due to dividend payment of Rs. 5.00 per share, effective February 5, 2026.

Summary

BSE has announced mandatory adjustments to all Futures and Options contracts for GAIL (India) Ltd (Scrip Code: 532155) due to a dividend payment of Rs. 5.00 per equity share. The adjustments will be implemented on February 4, 2026, with the ex-date being February 5, 2026. Record date for dividend payment is February 5, 2026.

Key Points

  • Company: GAIL (India) Ltd (Derivative Asset Code: GAIL, Equity Scrip Code: 532155)
  • Dividend amount: Rs. 5.00 per equity share for FY 2025-26
  • Record date: February 5, 2026
  • Adjustment date: February 4, 2026
  • Ex-date: February 5, 2026
  • All existing F&O contracts will be adjusted
  • Adjustments made in accordance with SEBI Master Circular No SEBI/HO/MRD/DP/CIR/P/2016/135 dated December 16, 2016

Regulatory Changes

No new regulatory changes. This adjustment follows existing BSE notice 20180710-26 regarding review of corporate action adjustments for stock options and SEBI Master Circular guidelines.

Compliance Requirements

For Trading Members:

  • Note adjusted strike prices for options contracts effective February 5, 2026
  • Note adjusted base rate/previous close for futures contracts effective February 5, 2026
  • Contact respective relationship managers for further details
  • Update trading systems with adjusted contract parameters

Options Contracts Adjustment:

  • Full dividend value of Rs. 5.00 will be deducted from all strike prices
  • Adjustments applied to contracts generated at end of February 4, 2026
  • Adjusted strike prices available for trading from February 5, 2026

Futures Contracts Adjustment:

  • Adjusted futures price = Reference rate minus Rs. 5.00
  • Reference rate = Daily mark-to-market settlement price on February 4, 2026
  • Adjusted rate becomes base rate/previous close for trading on February 5, 2026

Important Dates

  • February 2, 2026: Circular issued
  • February 4, 2026: Adjustment implementation date
  • February 5, 2026: Ex-dividend date; adjusted contracts begin trading; Record date for dividend eligibility

Impact Assessment

Market Impact:

  • All active F&O positions in GAIL will see automatic strike price and futures price adjustments
  • Option strike prices will decrease by Rs. 5.00 across all series
  • Futures contracts will have reduced base prices by Rs. 5.00

Trading Impact:

  • Traders holding positions must account for adjusted pricing in risk management
  • No impact on underlying equity positions
  • Routine adjustment with established procedures

Operational Impact:

  • Standard corporate action adjustment process
  • Trading systems must reflect adjusted parameters from February 5, 2026
  • Members should verify adjusted contract specifications before trading

This is a routine adjustment for dividend payment and follows standard exchange procedures for corporate actions in derivative contracts.

Impact Justification

Routine corporate action adjustment affecting all F&O traders in GAIL. Medium impact due to mandatory adjustments to strike prices and futures pricing affecting all derivative positions.