2 Stock Splits Lined Up For Next Week To Know About

Stock Split is a corporate action wherein the listed company's outstanding shares are divided further into small shares. The decision in respect of the same is taken by the company's board of directors. In the process, the market value of the total outstanding shares of a company remains the same but market value of 1 share is reduced in proportion to the number of shares extracted out of a single share.

Say if there is a 1:2 stock split and the face value changes from Rs. 10 to Rs. 5 in a stock split then if you had one share before the split, you would own 2 shares post the split. Likewise, if the stock's price before the split had been Rs. 1000, it shall get reduced to Rs. 500 per share.

So, likewise, there are 2 stock splits due to take place next week that investors can keep an eye on:

Saianand Commercial

The small cap company as per the company's website is a public entity incorporated in 1984. It is classified as Non-govt company and is registered at Registrar of Companies, Mumbai. Its authorized share capital is Rs. 10,000,000 and its paid up capital is Rs. 113,600,000. It is involved in Other wholesale [Includes specialized wholesale not covered in any one of the previous categories and wholesale in a variety of goods without any particular specialization.]

Saianand Commercial Limited's Annual General Meeting (AGM) was last held on 30 September 2021 and as per records from Ministry of Corporate Affairs (MCA), its balance sheet was last filed on 31 March 2021.

The company's stock shall turn ex-split on August 17 and its face value shall change from the previous Rs. 10 to the new face value of Rs. 1.

In this connection the company's filing to the exchange said, "Further to our letter dated 29th July, 2022 informing your esteemed Exchange about a proposal being submitted to the shareholders at their 38th Annual General Meeting (AGM) to be held on
29th July 2022 seeking their approval for the split of the 1,30,00,000 (equity shares of Rs . 10/- each into 13,00,00,000 equity shares of Rs.1/each, we wish to inform you that the shareholders have approved the proposal and the company has fixed 17th August, 2022 as the Record Date for the said split of the shares".

"In this connection, we wish to inform you that the new ISIN number to be assigned by the
depositories will be informed to your esteemed Exchange at least 2 days prior to the record
date", added the filing.

So, in this case, the ex and the record date for the split is August 17, 2022.

Mangalam Global Enterprise

This is again a small cap firm engaged in the business of coatings. The company's scrip last on Friday closed at a price of Rs. 206.95 per share. This is a multibagger scrip with 1-year return of 286% and listed only on the NSE.

The company's stock shall split from a FV of Rs. 10 to the new face value of Rs. 2 i.e. in the ratio of 1:5. Further as per the company's filing dated August 1, 2022, the Company has fixed Record Date for the purpose of Sub-Division of Equity Shares as approved by the shareholders at the 12th Annual General Meeting of the Company
held on July 25, 2022 and the same is August 19, 2022, while the stock shall turn ex-split on August 18, 2022.

Disclaimer

The above stocks are mentioned for the stock split that is likely to happen in their case. Readers should not construe the story as and investment advice into these stocks.