2:1 bonus share, 1:10 stock split: Small-cap FMCG stock hits upper circuit on third day in a row after record date
Small-cap stock under ₹5: Shares of Sarveshwar Foods Ltd are one of those rare stocls on Dalal Street that has registered huge buying interest during early morning deals despite weakness in key benchmark indices. The penny stock under ₹5 opened higher and went on to hit upper circuit within few minutes of stock market's opening bell today. In fact, the small-cap stock below ₹10 has been in bull trend after trading ex-bonus and ex-split stock on 15th September 2023.
On Friday, the small-cap stock had traded ex-bonus for issuance of 2:1 bonus shares whereas on the same date, this stock traded ex-split for stock subdivision in 1:10 ratio. On Monday session as well, this small-cap stock hit 5 per cent upper circuit. As per the latest exchange communication, Sarveshwar Foods Ltd has informed Indian stock market bourses about allotment of bonus shares in 2:1 ratio.
This means two bonus shares for every one share held on bonus share record date i.e. on 15th September 2023. "In terms of Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, we wish to inform you that the Board of Directors of the Company at their meeting held on today i.e.
Monday, September 18, 2023, inter-alia, considered and approved the following business items: allotted 65,25,44,000 Equity shares of Rs. 1/- each as fully paid Bonus Shares to the existing shareholders of the Company as on Record date i.e. September 15, 2023 in the ratio of 2:1 i.e.
2 (Two) Equity Shares for every 1 (One) Equity Shares having a face value of Re. 1/- each held," small-cap stock below ₹10 informed Indian exchanges. "Post the above allotment, the paid-up Equity Share capital of the Company would stand at Rs.
Read more on livemint.com
