Mumbai, June 17, 2025 — In a move that sent shockwaves through the Indian stock market, Bajaj Finance Ltd. pulled off a rare financial masterstroke on June 16, 2025 — a mind-bending 90% price drop in its stock overnight! But wait, before you panic-sell, this dramatic fall is no accident — it’s the result of a historic stock split and a generous bonus share issue that aims to attract more retail investors and boost long-term shareholder value.
💥 What Just Happened?
On June 16, Bajaj Finance executed a 4:1 bonus share issue along with a 1:2 stock split, transforming every 1 share into 10 new shares. That’s right — investors who once held just 10 shares now see 100 shares in their demat account (effective soon)!
🔍 The Math Behind the Magic
- Bonus Issue: For every 1 share, you get 4 extra shares (that’s 5 shares total).
- Stock Split: Each ₹2 share is split into two ₹1 shares.
- Result: Net outcome? 1 old share becomes 10 new shares.
So, although the stock price fell from ₹9,331 to ₹937.90, your investment value remains the same — it’s just spread across more shares. This is a classic case of “more slices, same pizza.”
📊 Market Pulse: How Did Dalal Street React?
Despite the adjusted price, investors responded positively. The stock opened at ₹956, registering a 2.5% uptick — a sign that the Street appreciates Bajaj Finance’s strategic game. However, minor jitters in the broader markets pulled the price down by 0.7% in early trade, reflecting general market sentiment rather than concerns over the split.
🧾 Eligibility Criteria: Did You Make the Cut?
If you bought shares on or before June 14, you’re in luck! That was the cut-off date to qualify for this golden corporate reward. Anyone buying from June 16 onwards won’t be eligible for the bonus or the split benefits.
The official record date was June 16, and the entire process will be reflected in investors’ demat accounts by June 27.
🎯 Why This Move Matters?
By reducing the share price per unit, Bajaj Finance has made its stock more affordable to small and retail investors, thereby increasing liquidity, accessibility, and long-term investor participation. It’s a classic tactic used by companies with strong fundamentals and high share prices to encourage broader ownership.
🧠 Expert Take
“This move by Bajaj Finance is a textbook example of how to keep investor enthusiasm high without diluting actual value. It’s cosmetic in nature, yes — but incredibly powerful from a retail participation standpoint,”
— Ritika Sharma, Equity Analyst, AlphaEdge Capital
🚀 What Next?
Keep an eye out as the company finalizes the bonus distribution and stock split process by June 27. If you’re already a shareholder, it’s going to be a demat surprise worth waiting for.