Announcements

HINDPETRO Limited conducted a meeting with its Board of Directors on 20th May, 2021. As per this meeting, it has declared, to the Exchange, a Final Dividend of Rs.22.75 per equity share. The record date for the purpose of payment of dividends is 8th July 2021.

What are dividends?
A dividend is a part of the company's profits given to its shareholders to reward them for their investment in the company. 

How does this corporate action impact Futures & Options Contracts?

Impact on Futures Contract: 

1. Base price of the Futures contracts on 8th July 2021 will be reference rate less aggregate amount of dividend i.e. Rs. 22.75 /-

2. The reference rate to be reckoned for this purpose shall be the daily mark to
market settlement price of the relevant futures contract

Impact on Options Contract: 

1. The full value of dividend i.e. Rs. 22.75 /- would be deducted from all the cum-dividend strike prices on the ex-dividend date

2. The details of the old and corresponding new options contracts shall be available for trading from 8th July 2021 and you will be notified on that day

For all positions taken before 8th July 2021, you may see a slight deviation in the carried forward (c/f) average price of HINDPETRO due to the corporate action mentioned above.

To know more, read the circular here.