# Tech Mahindra Bonus Issue: Sweet Deal or Market Trap

> Tech Mahindra's 1:1 bonus share issue may boost holdings but risks price correction for investors.
- Title: Tech Mahindra Bonus Issue: Sweet Deal or Market Trap · mint
- Summary: Tech Mahindra's 1:1 bonus share issue may boost holdings but risks price correction for investors. Tech Mahindra's 1:1 bonus issue could increase shareholder…
- Keywords: tech mahindra, bonus issue, stock market, equitymaster, shareholders, stock prices, revenue, money, business, Tech, Mahindra, Bonus
- Source: mint — https://livemint.com/market/stock-market-news/tech-mahindra-bonus-issue-a-sweet-deal-or-market-trap-11792582032984.html
- Author: Equitymaster
- Published: 2026-10-22T00:30:50+00:00
- Read time: 1 min
- Topics: tech mahindra, bonus issue, stock market, equitymaster, shareholders, stock prices, revenue, money, business
## Tech Mahindra Bonus Issue Announcement
The Tech Mahindra board announced a bonus issue of shares on 15 October 2026.
## 1:1 Bonus Share Ratio
The company will give 1 additional share for every 1 share held by shareholders.
## Record Date to Be Determined
The record date for the bonus issue will be set by the company later.
## Last Bonus Issue in 2015
Tech Mahindra's last bonus issue was announced in January 2015.
## Share Face Value
The face value of shares is ₹5.
## Price Correction After Ex-Bonus
Stock prices drop by half after ex-bonus date due to doubled share count.
## Q2FY27 Financial Results
Tech Mahindra reported ₹16,180 crore revenue up 15.6% year-on-year in Q2FY27.
## Profit After Tax
Profit after tax rose to ₹1,586 crore, up 32.7% year-on-year.
## Stock Price Jump
The stock rose 8% after the bonus announcement on 16 October 2026.
## Key takeaway

Tech Mahindra's 1:1 bonus issue could increase shareholder holdings but may trigger stock price correction.