Investors looking to participate in the upcoming stock split of small-cap multibagger Pondy Oxides & Chemicals Ltd. have only one trading session left, with Monday being the last day to buy the shares and remain eligible for the corporate action.
Lead, lead alloys and plastic additives manufacturer Pondy Oxides & Chemicals has fixed July 21 as the record date for its 2:5 stock split. Under the T+1 settlement cycle, investors must purchase the stock at least one trading day before the record date to ensure the shares are credited to their demat accounts in time. This makes Monday the final day to buy the stock and qualify for the split.
Pondy Oxides & Chemicals' 2:5 Stock Split
The company had announced in May that its board approved the subdivision of every two equity shares with a face value of Rs 5 each into five equity shares with a face value of Rs 2 each. The stock split is aimed at improving the liquidity of the company's shares and making them more affordable for retail investors, thereby encouraging wider investor participation.
Following the split, the company's authorised share capital will increase in terms of the number of shares, with 4.03 crore shares becoming 10.07 crore shares, while the overall authorised capital value will remain unchanged.
Earlier this month, the company confirmed July 21 as the record date to determine eligible shareholders for the corporate action.
What The Stock Split Means For Shareholders
A stock split increases the number of shares held by investors while proportionately reducing the share price. It does not change the overall value of an investor's holding or the company's market capitalisation.
For example, if an investor owns 200 shares priced at Rs 100 each, following the 2:5 stock split, the holding will become 500 shares priced at around Rs 40 each. The total investment value will continue to remain Rs 20,000.
Lower-priced shares often improve liquidity and make the stock more accessible to a wider base of retail investors.
Pondy Oxides & Chemicals Share Price Performance
Pondy Oxides & Chemicals has been a strong long-term wealth creator despite recent volatility.
The stock has delivered more than 700% returns over the past five years and over 580% gains in the last three years. It has also risen 37% over the past one year. In the shorter term, however, the shares have declined more than 5% over the past week and are up over 1% in the last month. The stock is down around 11% so far in 2026.
The company currently has a market capitalisation of around Rs 4,120 crore.
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