In your interest.
Online Personal Finance Magazine
No beating about the bush.
A shareholder with one share of Rs10 will end up with 10 equity shares of Rs2 each
Gold loan company Manappuram General Finance and Leasing Ltd has said that its board of directors has decided to go for a stock split and bonus issue of 1:1. Every equity share of Rs10 will be split into five shares of Rs2 each, it said in a release.
"This split is aimed to provide further liquidity to the company's stock. Recently, the company had raised Rs245 crore by way of qualified institutional placement (QIP) from a group of domestic and international investors. Against this backdrop, the board felt it was the right time to reward its loyal investors," said VP Nandkumar, executive chairman, Manappuram Group.
With the bonus issue and after the stock split, the company's outstanding shares will increase from 34.04 million shares of Rs10 each to 340.38 million shares of Rs2 each, the release added.