You are here: Home » Companies » News
Business Standard

Wipro ADRs slump 47% on NYSE; co say bonus, dividend issue date not decided

ADRs are instruments denominated in US dollars, underlying shares are of foreign company

Press Trust of India  |  New York | New Delhi 

Wipro ADRs slump on the NYSE; company clarifies on bonus issue

on Monday said the date for issuing bonus or dividend to the holders of its American Depository Receipts is yet to be finalised, amid the ADRs witnessing steep fluctuations in pre-market trading on the New York Exchange.

ADRs are instruments denominated in and the underlying are that of a foreign company.

According to reports, the exchange has suspended trading in ADRs. According to trading data, the company's ADRs plunged over 47 per cent to $10.45 in pre-market trade today.

The steep volatility has been witnessed ahead of the company fixing June 14 as the record date for issuance of bonus to the shareholders in

In a late evening filing, said that in view of today's market activity in its stock, the has contacted the company in accordance with its usual practice.

"The company felt that it was important to clarify to the market that the payable date and ex-dividend date for its (American Depository Receipts) bonus issue, or dividend, are yet to be determined," Wipro said in a filing to the exchanges.

According to Wipro, at NYSE, for stock dividends or bonus issue, the ex-dividend date is set as the first business day after the stock dividend is paid, which is also after the record date.

"Therefore has not yet declared an ex-dividend date for Wipro's program. Once the payable date is declared will announce the ex-dividend date for the ADR," the filing said.

The IT major's board of directors has fixed June 14 as the record date to determine eligible shareholders entitled to receive the bonus equity shares/stock dividend, it had said in a filing to the Indian exchanges on May 30.

First Published: Tue, June 13 2017. 08:56 IST