Tata Steel board to meet in early May to consider stock split
Tata Steel did not elaborate on the ratio of the stock split. It will likely be announced after the board approves the proposal.
By ETMarkets.com |
BCCL - Non Copyright
NEW DELHI: The board of Tata Steel is going to meet in early May to consider a stock split. The company's stock has surged over five-fold from the lows of March 2020.
In a regulatory filing on Sunday, the company said its board will meet on May 3, 2022 to “consider a proposal for sub-division of the equity shares of the company having a face value of Rs 10 each, in such manner as may be determined by the Board of Directors.”
It will eventually be subject to regulatory/statutory approvals as may be required and the approval of the shareholders of the company, the steel maker added.
The company did not elaborate on the ratio of the split. It will likely be announced after the board approves the proposal.
Usually, stock split is done by a company to increase liquidity in the counter after the price of a stock surges too much. The exercise also intends to make the stock ‘affordable’ for retail investors.
The board will also consider and take on record the quarterly and yearly earnings during the meeting. It may also announce a dividend payment for its investors.
Tata Steel shares closed at Rs 1,319.25 on BSE on Wednesday.
In a regulatory filing on Sunday, the company said its board will meet on May 3, 2022 to “consider a proposal for sub-division of the equity shares of the company having a face value of Rs 10 each, in such manner as may be determined by the Board of Directors.”
It will eventually be subject to regulatory/statutory approvals as may be required and the approval of the shareholders of the company, the steel maker added.
The company did not elaborate on the ratio of the split. It will likely be announced after the board approves the proposal.
Usually, stock split is done by a company to increase liquidity in the counter after the price of a stock surges too much. The exercise also intends to make the stock ‘affordable’ for retail investors.
The board will also consider and take on record the quarterly and yearly earnings during the meeting. It may also announce a dividend payment for its investors.
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Tata Steel shares closed at Rs 1,319.25 on BSE on Wednesday.
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