PremiumIRB Infrastructure Developers on Wednesday said that its board has approved the proposal for alteration in the equity capital by a split of existing shares with a face value of ₹10 per share into 10 shares with a face value of Re 1 each.
The company said it will now initiate for shareholders' approval and regulatory nods to bring the share split into effect for trading on stock exchanges.
"The Board considered the proposal for sub-division of 1(One) equity share of the Company having face value of ₹10/- (Rupees Ten) each into 10 (Ten) equity shares having face value of Rs1/- (One) each, subject to regulatory/statutory approvals as may be required and the approval of the shareholders of the Company," said IRB Infrastructure Developers.
The company said that it is done with the aim to enhance the liquidity in the capital market, to widen shareholder base and to make the shares more affordable to small investors.
It will be completed by 28 February,2023, said IRB Infrastructure Developers.
"As we approach the auspicious occasion of completing 25 years of incorporation and completion of 15 years as a listed company on Indian bourses, the board has decided to effect this stock split. As a responsible corporate, the company has progressed over these 25 years in a meaningful manner, creating toll road assets in excess of INR 60,000Crs across the group, and in the process creating significant shareholder wealth. With the mindset of further rewarding and accommodating small shareholders in the value accretive journey of the company, we thought it necessary to effect the above stock split to have a sizeable participation from this segment of investors in the company’s unfolding growth journey," said Virendra D. Mhaiskar, Chairman & Managing Director.
The stock has surged about 31% year-to-date, while the stock has rallied from around ₹55 to ₹290 levels in near three years, ascending to the tune of 450 per cent in this time horizon.
The company's scrip ended 1.56 per cent up at ₹319.65 at BSE.