Investors in Anand Rathi Wealth have until today to purchase shares to qualify for the company's 1:1 bonus issue. The record date for this corporate action is set for Wednesday, and due to SEBI's T+1 settlement norm, shares must be bought at least one trading day prior to be eligible.
Anand Rathi Wealth announced in April that its board approved a bonus issue of shares in a 1:1 ratio by capitalizing its reserves, alongside a final dividend of Rs 7 per equity share for FY26. Eligible shareholders will receive one new fully paid-up equity share with a face value of Rs 5 for every existing share held as of the record date. The bonus shares will be issued from the company's retained earnings, securities premium account, or capital redemption reserve account as of March 31, 2026.
The company requires Rs 41.51 crore from its free reserves to implement the bonus issue, with free reserves exceeding Rs 950.22 crore at the end of March FY26. Bonus shares are expected to be credited to shareholders' demat accounts by June 7. While the issuance increases the total number of outstanding shares, it does not alter the company's market capitalization but can enhance liquidity and affordability.
Anand Rathi Wealth's shares have shown significant growth, doubling in less than a year to reach a 52-week high of Rs 3,735 in April, up from a low of Rs 1,860 in May last year. Despite a 3% decline over the past month, the stock has gained 13% in 2026, delivering 86% returns over one year. The company boasts a market capitalization exceeding Rs 29,000 crore and a P/E ratio above 72.
In its Q4 FY26 results, Anand Rathi Wealth reported a consolidated net profit of Rs 103.1 crore, marking a 40.5% year-on-year increase. Revenue from operations grew 30% YoY to Rs 287.82 crore, with total assets under management rising 21% YoY to Rs 93,037 crore and a return on equity of 46.7%.
Background
The bonus issue reflects Anand Rathi Wealth's robust financial health and growth prospects. Investors should monitor the company's performance and market conditions as the bonus shares are credited and assess the impact on liquidity and share price.
The bonus issue reflects Anand Rathi Wealth's robust financial health and growth prospects. Investors should monitor the company's performance and market conditions as the bonus shares are credited and assess the impact on liquidity and share price.
