Bonus shares reward shareholders by increasing their holdings at no cost. It also improves stock liquidity, and preserves company cash, while signalling strong financial health and growth prospects.
These advantages make bonus issue a valuable tool in equity management for both companies and investors.
Recently, a top IT company announced a bonus issue of shares. The stock in the news is Tech Mahindra.
Here's all you need to know about the bonus share details from the company:
• The Tech Mahindra board announced on 15 October 2026, a bonus issue of shares.