Kotak Mahindra Bank has informed the exchanges that it has fixed January 14 as the record date for the stock split it had announced earlier.Shareholders who hold Kotak Mahindra Bank shares in their demat accounts as of the close of trading on January 13 will be eligible for the stock split. Those who purchase the stock on January 14 will not qualify for the split.
The bank had approved the subdivision of one equity share with a face value of ₹5 into five equity shares of ₹1 each, implying a split ratio of 1:5. At present, Kotak Mahindra Bank shares carry a face value of ₹5.
This is not the first time the lender has undertaken such corporate actions. In 2010, the bank split its shares by reducing the face value from ₹10 to ₹5. It also issued bonus shares in a 1:1 ratio in 2015.
Stock splits are typically aimed at increasing the number of outstanding shares and improving liquidity by making the stock more affordable for investors.Apart from splits, Kotak Mahindra Bank has consistently rewarded shareholders through bonus issues as well. In July 2015, the bank approved one bonus share for every share held.
The bank had approved the subdivision of one equity share with a face value of ₹5 into five equity shares of ₹1 each, implying a split ratio of 1:5. At present, Kotak Mahindra Bank shares carry a face value of ₹5.
This is not the first time the lender has undertaken such corporate actions. In 2010, the bank split its shares by reducing the face value from ₹10 to ₹5. It also issued bonus shares in a 1:1 ratio in 2015.
Stock splits are typically aimed at increasing the number of outstanding shares and improving liquidity by making the stock more affordable for investors.Apart from splits, Kotak Mahindra Bank has consistently rewarded shareholders through bonus issues as well. In July 2015, the bank approved one bonus share for every share held.
The lender has also maintained a strong dividend track record. Over the past 11 fiscal years since 2015, Kotak has paid dividends in 10 years, with 2020 being the lone exception due to the pandemic.
Its first recorded dividend dates back to June 25, 2001, at ₹1.8 per share. Barring a six year gap between 2002 and 2008, the bank has largely been regular with dividend payouts.
Among the 43 analysts tracking the stock, 29 have a ‘Buy’ rating, while 10 recommend ‘Hold’ and four suggest ‘Sell’.
Shares of Kotak Mahindra Bank closed 0.33% lower at ₹2,157.10 on Monday. The stock is up nearly 21% so far in 2025.
