Adani Power Approves Stock Split Of One Share Into Five; Record Date To Be Announced Soon
The stock split will be Adani Power's first-ever corporate action.
Adani Power Ltd.'s board on Friday approved a plan for a stock split in the ratio of 1:5, according to an exchange filing. Each fully paid-up equity share having a face value of Rs 10 will be divided into five equity shares having a face value of Rs 2, subject to approval of the shareholders of the company, the filing said.
The stock split will be Adani Power's first-ever corporate action.
The record date for determining the eligible shareholders will be announced after the shareholders' approval. The company will issue a separate notification for the same.
A stock split is a corporate action where a company divides its existing shares into multiple new shares, increasing the total number of outstanding shares but decreasing the price per share.
Though it does not change the overall market capitalisation of the stock, it can make the shares more accessible to a wider range of investors by lowering the price per share.
NDTV Profit had reported on July 9 that a positive corporate action is expected.
The total promoter holding is 74.96%, as per the latest shareholding data on the BSE. Nearly 18 lakh retail investors own a combined 4.8% equity. Foreign portfolio investors have a 12.46% stake.
