Mumbai: Kotak Mahindra Bank has announced Wednesday, January 14, 2026, as the record date for its upcoming stock split. The bank had earlier informed investors about the sub-division of its equity shares, and the latest update confirms when shareholders’ eligibility will be decided.
The announcement was made through an official regulatory filing, in line with SEBI’s listing and disclosure norms.
What is the stock split ratio?
The bank has approved a stock split in the ratio of 1:5. This means that one existing share with a face value of Rs 5 will be split into five shares, each having a face value of Rs 1.
While the number of shares held by investors will increase, the overall value of their investment will remain the same, as the share price adjusts proportionately after the split.
Why companies opt for stock splits?
Stock splits are commonly used by companies to improve liquidity in their shares. When a stock price becomes very high, it may discourage small investors from buying it. By reducing the price per share, a stock split makes the shares more affordable and accessible, especially for retail investors.
A lower share price can also lead to higher trading volumes, as more participants are able to buy and sell the stock.
Official statement from the bank
In its exchange filing, Kotak Mahindra Bank said the record date has been fixed under Regulation 42 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The record date will be used to determine which shareholders are eligible to receive the split shares.
Only investors holding Kotak Mahindra Bank shares as of January 14, 2026, will be entitled to the benefits of the stock split.
Share price movement
On the day of the announcement, shares of Kotak Mahindra Bank were trading slightly lower. The stock was seen at around Rs 2,154, compared with the previous close of Rs 2,158. Market participants are now watching how the stock performs closer to the record date.
What investors should know?
A stock split does not change a company’s fundamentals or market value. However, it can increase investor interest and trading activity over time. Investors should focus on the bank’s long-term performance rather than short-term price movements.
