IRB Infra Stocks to Split: 1 Share to become 10 shares

IRB Infrastructure Developers board has approved the proposal for alteration in the equity capital by a split of existing shares with a face value of ₹10 per share into 10 shares with a face value of Re 1 each.

The stock has gone through a wonderful journey from around ₹55 to ₹290 levels in three years, giving a return of 450 per cent in this time horizon. The company will now initiate for shareholders’ approval and regulatory nods.

The company said that it is done with the aim to enhance the liquidity in the capital market, to widen shareholder base and to make the shares more affordable to small investors. The record date will be announced later, however it will be completed by 28 February, 2023.

“The Board considered the proposal for sub-division of 1(One) equity share of the Company having face value of ₹10/- (Rupees Ten) each into 10 (Ten) equity shares having face value of Rs1/- (One) each, subject to regulatory/statutory approvals as may be required and the approval of the shareholders of the Company,” said IRB Board.

Management Commentary

“As we approach the auspicious occasion of completing 25 years of incorporation and completion of 15 years as a listed company on Indian bourses, the board has decided to effect this stock split. As a responsible corporate, the company has progressed over these 25 years in a meaningful manner, creating toll road assets in excess of Rs 60,000 crore across the group, and in the process creating significant shareholder wealth. With the mindset of further rewarding and accommodating small shareholders in the value accretive journey of the company, we thought it necessary to effect the above stock split to have a sizeable participation from this segment of investors in the company’s unfolding growth journey,” said Virendra D. Mhaiskar, Chairman & Managing Director.