The board of directors of L&T and BPCL during last week of May, 2017, had approved issue of bonus shares in the ratio of 1:2 (i.e. one bonus equity share for every two fully paid equity shares held). L&T has fixed July 14, while BPCL fixed July 15 as the record date to identify eligible shareholders for the purpose of bonus shares.
At 09:20 am; BPCL was trading 1% higher at Rs 465 after hitting high of Rs 469 in early morning trade. L&T too up 1% at Rs 1,173 on BSE. On Wednesday, BPCL and L&T were ended at Rs 684 and Rs 1,740 (unadjusted to bonus issue), respectively.
Post bonus announcements, BPCL and L&T have underperformed the market by falling 9% and 2% respectively, till Wednesday. By comparision, the S&P BSE Sensex was up 2% during the period.