Sikko Industries Stock Split: Last Day to Buy Shares Is Today

Ahmedabad, November 26: The shares of Sikko Industries will trade ex-split tomorrow, on November 27. An ex-split date is the date before which investors must buy the shares of a company to have their names in the eligible shareholders’ list. The company looks at its shareholders’ list on the record date to determine eligible shareholders for the stock split. Since Sikko Industries has fixed both the ex-split date and the record date tomorrow, investors must buy the shares of the company by the end of today’s trading session to be eligible for the stock split.

Sikko Industries Stock Split Details

Sikko Industries has announced a stock split of 1:10. Under the stock split, the shares of the company will subdivide from the current face value of ₹10 each to a face value of ₹1 each. This means that eligible shareholders holding 1 share of the company on the record date will receive 9 additional shares. Hence, they will hold 10 shares of the company after the stock split, instead of 1 share held on the record date.

However, tomorrow the share price of the company will fall to its 1/10th of the closing price today. This happens to ensure that with 9 extra shares, the total investment value for the shareholders remains the same. Hence, investors need not worry about the share price fall tomorrow, as it will be just a share price adjustment to the stock split. It will lead to no monetary loss, and no change in the company’s market capitalisation.

Shares Fall by 0.08% to ₹112.88

As of 11:10 AM, Sikko Industries share price was down by 0.08%, or 0.09 points, and was trading at ₹112.88. The traded volume stood at 18.75 thousand shares, with the company’s market cap at ₹247 crore. The shares have their 52-week high at ₹136.63 and their 52-week low at ₹60.65.

Investor Takeaway for Sikko Industries

The stock split by Sikko Industries is aimed at rewarding shareholders, who will have 9 additional shares of the company at no additional cost. Furthermore, the stock split will also improve liquidity for the shares, and attract more investors, due to the reduced share price. However, investors must buy the shares of the company by the end of today’s trading session to be eligible for the stock split. It is expected that the shares of Sikko Industries may see better demand, if more investors buy the shares by the end of today’s trading session.

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