Hero MotoCorp has issued a disclosure regarding the withholding of the interim dividend for the Financial Year 2025-26 for certain shareholders. Payments have been held back either due to incomplete Know Your Customer (KYC) details for physical shareholdings or missing/incomplete bank details for demat holders. Shareholders are urged to immediately update their records via the Registrar and Share Transfer Agent (RTA) to ensure the release of their dividend funds electronically.
Interim Dividend Status Update for FY 2025-26
Hero MotoCorp Limited has provided an important update concerning the distribution of the interim dividend declared for the Financial Year 2025-26. In compliance with regulatory requirements, the company has withheld dividend payments for shareholders whose records remain incomplete. This action ensures adherence to mandates concerning investor identification and electronic payment methods.
Reasons for Withholding Dividend Payments
The company has identified two primary reasons for the suspension of dividend payouts:
- Physical Holdings: Shareholders holding securities in physical form have not submitted the required Know Your Customer (KYC) documentation. This includes essential details such as PAN, contact information, and bank account details.
- Demat Holdings: Shareholders holding securities in dematerialized form have incomplete or missing bank account details linked to their depository accounts. This prevents mandatory electronic remittance, as dividend payments must be made via electronic mode starting April 1, 2024, discontinuing the use of warrants or cheques.
For reference, the record date for determining eligible shareholders for this dividend was the close of business hours on February 11, 2026.
Action Required by Shareholders
Shareholders are requested to take immediate action to rectify their status to receive the withheld dividend. Specific procedures differ based on the holding mode:
For Physical Shareholders (KYC Update)
Shareholders must furnish hard copies, self-attested and dated, to the Registrar and Share Transfer Agent (RTA), KFin Technologies Limited, at their Hyderabad address. Required forms include:
- Form ISR-1: For KYC detail updation, accompanied by self-attested supporting documents.
- Form ISR-2: For banker attestation of signature, along with a cancelled cheque or bank statement copy.
- Nomination Forms: Shareholders must submit Form SH-13 for updating nomination details or Form ISR-3 to opt-out of nomination.
Alternatively, scanned copies with e-signatures may be submitted via email to the RTA’s designated address.
For Demat Shareholders (Bank Detail Update)
Shareholders whose dividends were withheld due to incomplete bank details must immediately update their valid bank account information, including the IFSC and MICR codes, with their respective Depository Participant (DP). Once updated, confirmation should be forwarded to the Company’s RTA.
Recommendation on Holding Form
The company further encourages all members to consider converting their physical shareholdings into dematerialized form to mitigate risks associated with physical certificates and enhance ease of holding and transaction processing.
Source: BSE
