The “book close date” or “book closure date” refers to a specific date set by a company after which shareholders who are on the company’s record will be eligible to receive dividends, apply for right share and to participate in events like annual general meetings. On this date, the company temporarily closes its shareholder register to determine the list of shareholders who are entitled to these benefits.
If you purchase shares on or after the book close date, you will not be eligible to apply for the right share, or receive dividends, as the transaction would settle after the record date. In Nepal, investors need to buy the shares at least two trading days before the book close date (considering the T+2 settlement cycle) to be eligible for these benefits.
