1:10 Stock Split: Small Cap Stock Turns Ex-Split On 11th March: Bet On Monday?

As of Thursday's closing session, OK Play India, a small-cap company in the consumer discretionary category, has a market capitalization of Rs 530.63 Cr. The shares of OK Play India closed the previous week's last trading session 3.83% higher, at Rs 182.80 on March 7. The most prominent toy manufacturer in India goes by the name OK Play. This week's attention will be on the shares since the scrip is scheduled to trade ex-split on March 11, 2024, in order to facilitate a 1:10 stock split to make the equity shares of the company more affordable and is expected to encourage the participation of investors at large and therefore it is in the best interest of the investors and the company, according to Mr. Rajan Hana, Chairman of OK Play India.

OK Play India Stock Split Record Date

"Pursuant to Regulation 42 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, this is to inform you that the Company has fixed Monday, 11th March 2024 as the "Record Date" for determining entitlement of Equity Shareholders for the purpose of sub-division/ split of existing Equity Shares of the Company, such that 1 (one) equity share having face value of Rs. 10/- (Rupees ten only) each, fully paid-up, will be sub-divided into 10 (ten) equity shares having face value of Re. 1/- (Rupee one only) each, fully paid-up, ranking pari-passu in all respects which was approved by the Equity Shareholders through Extra-Ordinary General Meeting on 23rd February 2024," said OK Play India in BSE filing on 26th February, 2024.

OK Play India Stock Split Update

"Upon Sub-division of the Equity Shares as aforesaid, Ten (10) Equity Shares of the face value of Rs. 1/- each to be allotted in lieu of existing One (1) Equity Share of Rs 10/- each subject to the terms of the Memorandum and Article of Association of the Company and shall rank pari-passu in all respects with the existing fully paid-up Equity Shares of Rs. 10/- each of the Company and shall be entitled to participate in full after the Sub-divided Equity Shares are allotted. Upon the Sub-division of the Equity Shares as aforesaid, the existing Share Certificate(s) in relation to the existing Equity Shares of the face value of Rs. 10/- each held in physical form shall be deemed to have been automatically cancelled and be of no effect on and from the Record Date and the Company may without requiring the surrender of the existing Share Certificate(s) directly issue and dispatch the new Share Certificate(s) of the Company, in lieu of such existing issued Share Certificate(s) and in the case of the Equity Shares held in the dematerialized form, the number of Sub-divided Equity Shares be credited to the respective beneficiary accounts of the Shareholders with the Depository Participants, in lieu of the existing credits representing the Equity Shares of the Company before Sub-division," said OK Play India in a regulatory filing.

"Upon sub-division of equity shares, as aforesaid, subject to the provisions of the Companies (Share Capital and Debentures) Rules, 2014, the sub divided equity shares of nominal value of Rs. 1/- (Rupee One only) each shall be credited to the respective beneficiary account of the Members with their respective depository participants and the Company shall undertake such corporate actions as may be necessary in relation to the existing equity shares of the Company," OK Play India further stated in the BSE filing.

OK Play India Share Price Target

OK Play is bullish on the daily charts with strong support at 168. A daily close above resistance of 194 could lead to a target of 210 in the near term, said AR Ramachandran from Tips2trades.

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