According to an exchange, the board has approved the sub-division of equity shares in the ratio of 10:1 (ten for one).
“The Board of Directors at their meeting considered and approved the sub-division/split of one equity shares having a face value of Rs 10 each into ten equity shares having face value of Re 1 each,” the company said in a statement on BSE.
The split is subject to the approval of shareholders at the ensuing extra-ordinary general meeting, the filing added. A sub-division or split is a corporate action that is done to make the stock affordable and widen shareholders’ base. It results in increasing the total number of outstanding shares in the market.
“In this regard, the record date for such division/ split shall be intimated to the stock exchanges in due course,” the statement said.
The filing added that the board also approved the proposal of issuance of bonus shares in the ratio of 2:1 having a face value of Re 1. “In this regard, the record date for such bonus issue shall be intimated to the stock exchanges in due course,” it said.
Besides, the board also approved increasing the the authorized share capital from Rs 35 crore to Rs 100 crore and consequent alteration in capital clause of the Memorandum of Association of.
Meanwhile, Sensex has crashed more than 950 points to trade below 65,500. The NSE Nifty nearly 300 points to slip below 19450
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