Penny stock hit 5% upper circuit as Board declares 2:1 stock split
2 min read . Updated: 02 Apr 2023, 06:43 PM IST
Premium- The market capitalization of Square Four Projects India Ltd., a small cap company, was ₹14.72 Cr. on Friday.
The market capitalization of Square Four Projects India Ltd., a small cap company, was ₹14.72 Cr. on Friday. The business the organisation is in is real estate. The corporation issued a stock split i.e 2 equity shares of Rs. 5/- each in lieu of the existing holding of 1 equity share of Rs. 10/-each for its eligible shareholders during its Board meeting on Friday.
“The Board of Directors of the Company decided to split the face value of an equity share of the Company from Rs. 10/- each to Rs. 5/- each and for which it was decided to obtain the approval of the shareholders of the Company through Postal Ballot process," said Square Four Projects India in a stock exchange filing.
Citing the rationale behind the stock split, Square Four Projects India informed stock exchanges that “the management wants to increase the liquidity in the market and in order to facilitate involvement of more public to participate in the shares and growth of the Company by increasing the shareholders base, it is proposed to reduce the face value of an equity share of the Company from Rs. 10/- (Ten) each to Rs. 5/- (Five) each."
The expected time of completion is fixed by end of June, 2023 and Mr. A.K. Labh, Practicing Company Secretary has been appointed as scrutinizer.
The firm recorded NIL revenue for Q3FY23, and its revenue has been nil from FY21–22. Net expenses for the company were ₹0.06 Cr, while EBITDA was ₹(-0.06 Cr). During Q3FY23, Square Four Projects reported a consolidated net loss of ₹(-0.06 Cr) and equity capital of ₹9.81 Cr.
On Friday, the shares of Square Four Projects India closed on the BSE at a 5% upper circuit limit of ₹15.01 apiece level. The stock recorded a total volume of 888 shares and a deliverable volume of 100%. According to the chart pattern, the stock has been reaching its upper circuit limit since March 21. In the last 1 year, the stock has fallen 2.53% and on a YTD basis, it has gained 86.92% so far in 2023. The stock touched a 52-week-high of ₹20.85 on (16/05/2022) and a 52-week-low of ₹8.01 on (26/12/2022), indicating that at the current market price, the stock is trading 28% below the 1-year high and 87.39% above the 1 year low. The corporation reported a promoter shareholding of 74.63% for the quarter that ended in December 2022, or Q3FY23, and a public stake of 25.37%.