Nestle India, a leading FMCG company headquartered in Haryana, India, has announced a 1:1 bonus share issue for its shareholders after nearly three decades. This move was approved by its board on June 26, 2025, and is subject to final approval at an extraordinary general meeting scheduled for July 24.
Nestle India, one of India’s top fast-moving consumer goods (FMCG) companies and a subsidiary of Swiss multinational Nestlé S.A., has approved a 1:1 bonus share issue for its shareholders, marking its first bonus declaration in 29 years. The decision was made during its board meeting held on June 26, 2025.
According to the regulatory filing, Nestle India stated, “The bonus equity share of face value of Re.1 will be fully issued to equity shares of face value of Re.1 each, held by the members of the company.” The record date to determine eligible shareholders will be communicated later.
The bonus issue is subject to final approval in an extraordinary general meeting (EGM) to be held on July 24, 2025. The announcement was made by outgoing Chairman and Managing Director, Suresh Narayanan, during the company’s Annual General Meeting (AGM) held on the same day.
“This is the first bonus issue after the year 1996,” said Mr. Narayanan. “It will benefit more than 1.6 lakh small shareholders holding fewer than five shares each.” He emphasized that the move was intended to recognize shareholders’ long-standing support and loyalty.
Nestle India’s board believes the bonus shares will enhance stock liquidity and increase retail investor participation. Following the announcement, shares of the company rose by nearly 1% in morning trading, touching ₹2,426.95 apiece on the Bombay Stock Exchange (BSE).
Nestle India, listed on the NSE in 2024, has continued to deliver consistent growth across its segments, and this step is seen as a major milestone in expanding shareholder value.
The announcement comes at a time of leadership transition, as Manish Tiwary is set to take over from Suresh Narayanan later in 2025.