How 50 Bajaj Finance Shares Will Turn Into 500 by June 27 — Explained

bajaj finance share

Bajaj Finance, one of India’s leading non-banking financial companies (NBFCs), has announced a stock split that will dramatically increase the number of shares held by existing investors. If you currently own 50 shares of Bajaj Finance, they will automatically turn into 500 shares by June 27, 2025.

But why is this happening, and what does it mean for investors?

Let’s break it down.

What Is a Stock Split?

A stock split is a corporate action where a company divides its existing shares into multiple new shares. While the number of shares increases, the overall value of your investment stays the same.

In this case, Bajaj Finance is doing a 10:1 stock split, meaning:

  • 1 share becomes 10 shares

  • So, 50 shares become 500 shares

This split is purely mathematical — the stock price will also adjust accordingly

  • Record Date: June 14, 2025
    This is the date when Bajaj Finance will check its books to see who qualifies for the stock split.

  • Ex-Split Date: June 13, 2025
    From this date onward, the stock will trade at the new adjusted price.

  • Effective Date: June 27, 2025
    This is when the split will reflect in your demat account — your 50 shares will appear as 500.

Example: What Happens to Your Investment?

Let’s say Bajaj Finance shares are trading at ₹7,000 before the split.

  • You own 50 shares → worth ₹3,50,000 total

  • After the 10:1 split:

    • You will own 500 shares

    • Price per share becomes ₹700

    • Total investment value: Still ₹3,50,000

So while the number of shares increases, the overall value doesn’t change. It just becomes easier for small investors to buy the stock at a lower per-share price.

Why Is Bajaj Finance Doing This?

There are a few reasons why companies split their stock:

  1. Improve Liquidity: A lower share price makes the stock more affordable for retail investors.

  2. Expand Retail Participation: More shares at a lower price attract new investors.

  3. Positive Market Sentiment: Stock splits are often seen as a signal of strong performance and confidence in future growth.

Investor Takeaway

If you hold 50 Bajaj Finance shares, there’s nothing you need to do. By June 27, your holdings will be updated automatically to 500 shares in your demat account.

This split doesn’t change the fundamental value of your investment, but it can improve liquidity and make the stock more accessible for new investors.

✅ Tip: Stay updated via your broker or the official announcements from Bajaj Finance to ensure the changes reflect properly in your portfolio.

Frequently Asked Questions (FAQs)

1. Do I need to take any action for the stock split?
No. The split will be handled automatically by the depository and your broker.

2. Will I make more money because of the split?
Not immediately. The value of your investment remains the same. Long-term gains depend on stock performance.

3. Can I buy shares after the split?
Yes. You can purchase Bajaj Finance shares at the new, lower price after the ex-split date.

4. Will this affect Bajaj Finance’s fundamentals?
No. A stock split doesn’t impact the company’s earnings, revenue, or growth potential.