Description
NSE notifies adjustment of Futures and Options contracts for Tech Mahindra Limited (TECHM) due to a dividend of Rs 36 per share, with ex-date and effective date of July 3, 2026.
Summary
NSE has issued a circular (Ref No: NSE/FAOP/73943, Circular Ref. No: 53/2026) notifying members of the adjustment of Futures and Options contracts for Tech Mahindra Limited (Symbol: TECHM) pursuant to a declared dividend. The dividend of Rs 36 per share (face value Rs 5) carries an ex-date and effective date of July 3, 2026. Revised option strike prices and futures base prices will be communicated one day prior to the ex-date.
Key Points
- Symbol: TECHM (Tech Mahindra Limited)
- Corporate action type: Dividend
- Face value: Rs 5 per share
- Dividend amount: Rs 36 per share
- Ex-date / Effective date: July 3, 2026
- Revised option strike prices will be published one day before the ex-date
- Revised strike/futures base prices and lot sizes may appear in decimal places, rounded to nearest tick size; lot size rounded to nearest integer
- Updated contract files (contract.gz / MII contract and spread files) will be available one day prior to ex-date
Regulatory Changes
Pursuant to SEBI guidelines on adjustments to futures and options contracts on announcement of corporate actions, NSE will revise option strike prices, futures base prices, lot sizes, and quantity freeze limits as applicable. The adjustment methodology for position adjustments will be separately intimated by the respective Clearing Corporation.
Compliance Requirements
- Members must load the updated contract.gz / MII contract file (
NSE_FO_contract_ddmmyyyy.csv.gz) and spread file (NSE_FO_spdcontract_ddmmyyyy.csv.gz) on their trading applications before trading commences on the ex-date (July 3, 2026). - Files are available from the
faoftp/faocommondirectory on the Extranet server and also on the NSE website at https://www.nseindia.com/all-reports-derivatives - Adjustment details can be referred to at: https://www.nseindia.com/products-services/equity-derivatives-corporate-actions-adjustments
Important Dates
- Circular date: April 28, 2026
- Ex-date / Effective date: July 3, 2026
- Revised strike prices / contract files available: July 2, 2026 (one day prior to ex-date)
Impact Assessment
Traders and members holding open Futures and Options positions in TECHM will see adjustments to strike prices, futures base prices, and lot sizes effective July 3, 2026. The Rs 36 dividend is relatively significant compared to the Rs 5 face value, which may result in noticeable adjustments to option strikes. Members must ensure trading systems are updated with the revised contract files before the market opens on the ex-date to avoid pricing or execution discrepancies. This is a routine corporate action adjustment with moderate operational impact on F&O market participants trading TECHM derivatives.
Impact Justification
Standard F&O contract adjustment for a declared dividend on TECHM; affects derivatives traders holding positions in TECHM futures and options contracts but follows routine SEBI-prescribed adjustment procedure.