Coal India shares tumble over 8% on ex-dividend

Shares of Coal India Ltd plunged over 8% amid massive selling by investors as the stock went ex-dividend Monday.

The stock slumped 8.36 per cent to Rs 292.35 on BSE.

At NSE, shares of the company tanked 8.43% to Rs 292.

The blue-chip stock was the biggest loser among the 30- Sensex components.

"The company has fixed March 15, 2016 as the record date for the purpose of payment of interim dividend on equity shares for the financial year 2015-16, if declared by the Board," Coal India had said in a BSE filing late last month.

Coal India (CIL) has declared an interim dividend of Rs 27.40 per share for this fiscal.

The largest beneficiary will be the central government, which holds 79.64% and will get a dividend of Rs 17,308 crore, a communique had said earlier this month.

The issuing company fixes a particular date which is termed as record date when the investor must own shares in order to be eligible to participate in events like receiving dividend, bonus shares.