Shares of IOL Chemicals and Pharmaceuticals Ltd surged by 3.43% to ₹423.95 in early trading on December 30, 2024, after the company announced a stock split. The board approved subdividing each equity share of face value ₹10 into five shares of face value ₹2, boosting market sentiment.
Key Announcement Highlights:
- Stock Split Details:
- Each equity share with a face value of ₹10 will be split into five shares with a face value of ₹2.
- This move increases the number of shares held by investors without altering the overall value of their holdings.
- Corporate Filings:
- The company stated, “The Board approved, inter alia, the subdivision of each equity share of face value ₹10 into five equity shares of face value ₹2 by altering the Capital Clause of the Memorandum of Association.”
- Shareholder Approval:
- The stock split proposal is subject to shareholder approval through a postal ballot.
- The record date to determine eligible shareholders will be announced later.
The announcement has generated positive investor sentiment, with shares gaining nearly 4% in early trading. Stock splits generally improve liquidity and make shares more accessible to retail investors, potentially increasing demand.
