Find out all the information about the Dividend Adjustment of VEDL, including ex-dividend date, record date, cash and F&O adjustments, and more. Discover how VEDANTA LIMITED will adjust its dividends according to SEBI regulations.
VEDL announces the 4th Interim Dividend of ₹ 12.50 per share on January 27, 2023. This translates to a yield of 3.83% based on the closing price of ₹ 326.25 on January 25, 2023. The ex-dividend date is set for February 4, 2023, with the record date for dividend payment scheduled for February 4, 2023.
SEBI’s Guidelines for Dividend Adjustment in F&O
As per SEBI regulations, companies declaring dividends higher than 2% of the preceding day’s closing price must adjust the dividends in both futures and options markets. In compliance with these rules, VEDL will adjust its dividends in both the futures/options markets and the cash market.
Dividend Adjustment of VEDL in the Cash Market
Investors who buy VEDL shares on or prior to February 3, 2023, will receive the cash dividends directly to their bank accounts, as this is the last cum-dividend date for the stock in the cash market.
Dividend Adjustment of VEDL the Futures Segment
In the futures market, VEDL’s futures contracts will be adjusted by subtracting the dividend amount from the February 3, 2023 closing price. For instance, if VEDL closes at ₹ 330 on February 3, 2023, one futures contract would be worth ₹ 330 x 2000 = ₹ 6,60,000. The next day, February 4, 2023, the value of the same contract would be adjusted to ₹ 317.5 x 2000 = ₹ 6,35,000. The difference between these two values will be transferred from the futures seller’s account to the futures buyer’s account.
Dividend Adjustment of VEDL in the Options Market
In the options market, the dividends will be subtracted from the call and put option strike prices for ongoing monthly contracts i.e. February 23, 2023, and those expiring on, March 29, 2023, and April 27, 2023. This can be understood through the table given below:
VEDL dividend adjustment
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