Team News Riveting
Raipur, July 17
Sarda Energy and Minerals Limited (SEML), a flagship entity of Chhattisgarh-based Sarda Group, has fixed August 4 as the record date for the sub division and split of its equity shares.
The share sub division and split are a corporate action to make share affordable when the company is concerned that its share price is pricey. The stock split helps the company to appeal to new investors without any addition to market cap.
Under the process, the company issues more share to its current shareholders by reducing the face value of each share at a specified ratio. For example, if the ratio is 1:5, it implies for every one share held, the shareholders will get 5 shares respectively.
The SEML will split its stock in ratio of 1:10. It means that one equity share will be sub-divided into 10 equity shares for the holder.
“This is to inform that pursuant to Regulation 42 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, Friday, 4th August 2023 has been fixed as the “Record Date” for the purpose of sub-division/split of existing Equity Shares of the Company from l (One) Equity Share having face value of Rs 10 each fully paid-up, into 10 Equity Shares having face value of Rs 1 (Rupee One only) each fully paid-up,” SEML said in a regulatory filing.
Earlier on July 13, the company’s shareholders had approved a proposal for the share division through postal ballot, the company said.
SEML has informed BSE about Board Meeting to be held on July 29, 2023 to consider financial statements for the period ended June 2023.
