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Berger Paints India has moved higher by 6% to Rs 408 on National Stock Exchange (NSE) after the company said its board will consider sub-division of equity shares of the company of face value of Rs 2 each into Re 1 each.
The stock opened at Rs 388 and hit a high of Rs 409 on NSE. A combined 589,379 shares changed hands till 1303 hours on NSE and BSE.
“At the ensuing meeting of the board of directors of the company on November 04, 2014, the board may propose sub-division of the company’s equity shares having face value of Rs 2 each into equity shares having face value of Re 1 each”, Berger Paints said in a regulatory filing.
Stock split or sub-division of equity shares is done to infuse liquidity and to make shares affordable for retail investors who could not invest earlier because of the high stock price.
So far in 2014, the stock rallied 82% from Rs 225, as compared to 27% rise in the benchmark CNX Nifty.
The stock opened at Rs 388 and hit a high of Rs 409 on NSE. A combined 589,379 shares changed hands till 1303 hours on NSE and BSE.
“At the ensuing meeting of the board of directors of the company on November 04, 2014, the board may propose sub-division of the company’s equity shares having face value of Rs 2 each into equity shares having face value of Re 1 each”, Berger Paints said in a regulatory filing.
Stock split or sub-division of equity shares is done to infuse liquidity and to make shares affordable for retail investors who could not invest earlier because of the high stock price.
So far in 2014, the stock rallied 82% from Rs 225, as compared to 27% rise in the benchmark CNX Nifty.
