Nestle India fixes January 5 as record date for 10-for-1 stock split
Nestle India has fixed January 5, 2024, as the record date to determine eligible shareholders for the stock split announced by the company in October.
In October, the board approved splitting shares of face value Rs 10 into 10 shares of Rs 1 face value each. The company received shareholders’ approval for the same earlier this month.
This is the first time Nestle India is undergoing a share split since it got listed on the stock exchanges.
Stock splits are done to infuse liquidity and make shares affordable, particularly for retail investors who could not buy the shares of that company before due to high prices.
This subsequently helps in improving the liquidity in the stock.
In 2023 so far, shares of the “Maggi” noodles maker have appreciated more than 24% and hit a lifetime high of Rs 25,240.75 last week. In 5 years, the stock’s value has more than doubled.
For the recently concluded quarter, Nestle India reported robust earnings, with the revenue rising nearly 10% on year to Rs 5,037 crore and profit growing a sharp 37% to Rs 908 crore.
