Gautam Exim Announces 1:2 Stock Split and 3:1 Bonus Issue Amidst Significant Share Price Growth
180% returns in one year! This microcap stock announces 1:2 stock split, 3:1 bonus issue. Do you own?
The Economic TimesImage: The Economic Times
Gautam Exim, a waste paper and specialty chemicals importer, has announced a 1:2 stock split and a 3:1 bonus issue for its shareholders. This comes after the company's shares have surged over 176% in the past year, reflecting strong growth and potential for increased liquidity.
- 01Gautam Exim will split shares in a 1:2 ratio and issue three bonus shares for every one share held.
- 02The company's authorized capital will increase from ₹5 crore to ₹13 crore to accommodate the bonus issue.
- 03Shareholders will see their total shares increase significantly, but the overall value of their holdings will remain unchanged.
- 04Gautam Exim's share price has increased by 176% over the past year and 1,284% over the past five years.
- 05The record date for eligibility for the stock split and bonus issue is yet to be announced.
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Gautam Exim, a company specializing in waste paper, pulp, and specialty chemicals, has announced a 1:2 stock split and a 3:1 bonus issue for its shareholders. This decision was approved by shareholders earlier this month and aims to enhance share liquidity and affordability. As a result of the stock split, each share with a face value of ₹10 will be divided into two shares with a face value of ₹5 each. Additionally, shareholders will receive three bonus shares for every one share held after the split. This means that if a shareholder owns 10 shares, they will end up with 80 shares post-split and bonus issue, although the total value of their investment will remain unchanged. The company plans to increase its authorized capital from ₹5 crore (approximately $600,000 USD) to ₹13 crore (approximately $1.56 million USD) to facilitate the bonus issue. Gautam Exim's shares have seen a remarkable rise, with a 176% increase in the past year and a staggering 1,284% over the last five years. Currently, shares are trading at ₹321 on the Bombay Stock Exchange (BSE) and have experienced fluctuations recently, including a nearly 8% decline in the last five days.
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The stock split and bonus issue may attract more investors due to increased affordability and liquidity of shares, potentially leading to greater market interest.
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