Shriram Finance has announced a 5:1 stock split of its fully paid equity shares. This means that for every 1 equity share with a face value of ₹10 held by the shareholders, they will now receive 5 fully paid equity shares with a face value of ₹2 each.
The rationale behind this move is to enhance the liquidity of the company’s equity shares and make them more affordable for retail investors. The split is expected to encourage greater participation from smaller investors, thereby increasing trading activity and accessibility.
The process of this stock split is expected to be completed within 3 months from the date of approval by the members of the company.
Details regarding the share capital pre- and post-split will be shared as per Annexure-1 provided by the company.
This strategic decision aims to make Shriram Finance’s shares more accessible to a broader range of investors, potentially driving more interest in the stock.
