The coming week appears to be rather quiet on the corporate actions front. Only Hindustan Urban Infrastructure Ltd. and TANFAC Industries Ltd. has announced its record date for a share split.
TANFAC Industries and Hindustan Urban Infrastructure has set March 9, 2026 and March 13 as the record date, respectively for its stock split. While TANFAC Industries stock will split in 1:2 ration while Hindustan Urban Infrastructure shares will split in 1:5 ratio. Those eyeing to get in on the action must be vigilant about the record date to determine their eligibility.
Each fully paid up equity share of TANFAC Industries with face value of Rs 10, will be sub-divided into two fully paid-up equity shares having face value of Rs 5. Additionally, each fully paid up equity share of Hindustan Urban Infrastructure with face value of Rs 10, will be sub-divided into five fully paid-up equity shares having face value of Rs 2.
A stock split is a corporate action where a company increases the number of outstanding shares by reducing the face value per share. This typically enhances liquidity as the stock price adjusts accordingly.
While the number of shares increases, the total investment value remains unchanged. For instance, in the case of Hindustan Urban Infrastructure, one equity share with a face value of Rs 10 will be split into five equity shares with Rs 2 as the face value.
To be eligible for a stock split, investors must hold shares as of the record date announced by the company. The record date determines who will receive additional shares post-split, based on the split ratio. With India following the T+1 settlement cycle, investors need to purchase the stock at least one trading day before the record date to be eligible.
Buying shares on the record date itself won't qualify, as the ownership won't be reflected in time during trade.
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