Archive · 2 Aug 2025
Nestle India Announces F&O Adjustments Following Bonus Issue
Nestle India is giving out extra shares to people who own the stock, like a bonus!
Because of this, the prices of contracts for buying and selling the stock in the future (called F&O) will change.
On August 8th, the price of the stock in these contracts will be cut in half, and the number of shares you buy or sell in one go will double.
This is to make sure everything stays fair.
If the stock was at ₹2,300 on August 7, it will become ₹1,150, but the amount you're investing will remain the same.
Even though the numbers change, the overall idea is that the stock's value probably won't change much because of this.
Nestle India announced a 1:1 bonus share issue, leading to adjustments in its futures and options (F&O) contracts.
The record/effective date for the adjustments is August 8.
Futures contracts will be adjusted based on the August 7 settlement price, divided by 2; lot sizes will double.
Option strike prices will be divided by 2 from August 8.
The changes are unlikely to affect the stock's overall trend; traders should note the contract adjustments.
- Who
- Nestle India shareholders and traders.
- What
- Nestle India's F&O contracts will be adjusted due to a bonus share issue.
- When
- Adjustments take effect on August 8.
- Where
- N/A
- Why
- To accommodate the bonus share issue and maintain contract value.
- Company
- Nestle India
- Adjustment Factor
- 2
- Record/Effective Date
- August 8
- Futures Adjustment Basis
- August 7 settlement price divided by 2
- Lot Size Change
- Current 250 shares to 500 shares per contract
- Option Adjustment
- Strike prices divided by 2