1:2 Stock Split: Buy The Stock Before It Turns Ex-Split On Tuesday, 26th March?

As of Friday's closing session, United Van Der Horst Limited, a small-cap company in the capital goods category, has a market valuation of Rs 200.66 Cr. The corporation announced a 1:2 stock split with the goal of increasing the liquidity of its existing shares to draw in potential investors. The record date for the aforementioned corporate action is set for March 26. This indicates that Tuesday is the day the shares will trade ex-split and begin trading at their newly adjusted split price. According to United Van Der Horst, the subdivided shares will be credited to the current shareholders with the new ISIN INE890G01021 on the ex-split day.

United Van Der Horst Stock Split

"The Board of Directors in its meeting held on 25/01/2024 has recommended sub-dividing / splitting the equity shares of the company, such that each fully and partly paid-up equity share having face value of Rs.10/- (Rupees Ten Only) each be sub-divided into 2 (Two) fully and partly paid Equity Shares having face value of Rs.5/- (Rupees Five Only) each respectively," said United Van Der Horst in a regulatory filing.

In order to determine the eligibility of shareholders of the company for sub-division/split of each fully and partly paid-up equity share having a face value of Rs.10/- each will be sub-divided into 2 fully and partly equity shares having a face value of Rs.5/-, the company has fixed Tuesday, March 26, 2024 as the record date.
Recently, the company has announced that the sub-division of equity shares will take effect under the new ISIN i.e. INE890G01021 on the ex-split date i.e. on Tuesday, March 26, 2024 considering the T+1 settlement mechanism in India.

United Van Der Horst Financials

In the December 2023 quarter, the firm reported standalone net sales of Rs. 6.00 crore, growing 35.74% from Rs. 4.42 crore in the same quarter in 2022. Its net profit for the third quarter of FY24 jumped by 144.65% to Rs. 0.89 crore from Rs. 0.37 crore in Q3FY23. In the reporting quarter, the company's EBITDA of Rs. 2.40 crore was 60% higher than that of Rs. 1.50 crore in the same quarter of the previous fiscal year.

United Van Der Horst Share Price Target

United Van Der Horst is slightly bearish on the daily charts with strong resistance at 333. A daily close below support of 301 could lead to a target of 251 in the near term, said AR Ramachandran from Tips2trades.

Disclaimer

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