Karur Vysya Bank 1:5 Bonus Shares: Last Chance Before August 26 – Grab Or Wait? Find Right Trading Strategy

As the record date for Karur Vysya Bank's 1:5 bonus share issue draws near on August 26, 2025, the bank's stock is in the limelight. The price of the stock will adjust on the ex-date, which is also August 26, 2025, as a result of this corporate move, which gives shareholders one free share for every five they own. The bonus issuance is a calculated effort by the bank to capitalize on its substantial reserves and reward its existing shareholders. By the record date, August 26, you must have the shares of Karur Vysya Bank in your demat account and be a shareholder in order to be eligible for the bonus shares. Given India's T+1 settlement cycle, this means you must purchase the shares no later than the day before the ex-date, which is August 25, 2025, Monday.

Karur Vysya Bank Bonus Shares Record Date

"The record date for determining the entitlement of the Members of the Bank to receive bonus equity shares is 26th August, 2025," said Karur Vysya Bank in a stock exchange filing.

"Members holding shares in physical form are requested to dematerialize their existing shares on or before Tuesday, August 26, 2025 to enable the Bank to issue the bonus equity shares in dematerialised form. In cases where the Members hold equity shares in physical form as on the Record Date, the said bonus equity shares shall be credited in dematerialised form to a new demat escrow account till they are credited to the beneficiary demat accounts of the respective Members upon receipt of requisite documents. The voting rights on the bonus equity shares held in the said demat escrow account shall remain frozen," Karur Vysya Bank mentioned in its FY25 annual report.

Karur Vysya Bank Bonus Issue Allotment

"In order to enhance the wealth creation to the shareholders, increasing the liquidity of the equity shares for broader participation and to celebrate commencement of 110th year of operations, the Board of Directors in their meeting held on July 24, 2025 recommended the issue of Bonus Shares in the proportion of one new Equity Share of Face value Rs 2 each for every five existing Equity Shares of Face value Rs 2 each held by the Members on the Record Date, by capitalizing a part of the Securities Premium account," Karur Vysya Bank stated in its annual report of FY25.

"The present authorised share capital is Rs 200 Crore out of which share capital of Rs 161.06 Crore is paid up. The Securities Premium amount is Rs 2,089.98 Crore as per the unaudited financial results for the quarter ended June, 30, 2025. To capitalize a portion of Securities Premium, your Board recommended issue of Bonus shares in proportion of one share for every five existing equity shares held by the member on the Record Date by capitalizing a sum Rs 32,23,71,308 approximately from such reserve, for issuance of equity shares of Face value Rs 2/- each," the bank has further added.

Karur Vysya Bank Target Price

"Karur Vysya Bank is showing signs of stabilizing near its support zone at ₹250. Sustaining above this level could trigger a rebound toward ₹270-₹285 in the short term. Momentum indicators are gradually improving, suggesting renewed buying interest. A decisive move above ₹285 would confirm further upside, while ₹245 should be kept as a strict stop-loss for traders," commented Riyank Arora, technical analyst at Mehta Equities Ltd.

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