Understanding Ashok Leyland's 51% share drop

Business Jul 16, 2025

Ashok Leyland's stock took a sharp 51% dip on Wednesday, falling from ₹250.85 to ₹123.95.
But don't worry—this isn't about the company losing value. The drop just reflects the company giving out bonus shares to existing shareholders, so everyone's total investment stays the same.
The record date for these bonus shares was July 16.

First bonus issue in over a decade

Bonus shares will land in eligible shareholders' accounts on July 17, with trading starting July 18.
Over 14 lakh retail investors are set to benefit—anyone with up to ₹2 lakh invested gets in on this.
It's Ashok Leyland's first bonus share move since 2011, aiming to boost liquidity and reward loyal shareholders without changing overall value.