FMCG Stock Declares First-Ever 1:10 Stock Split After 4 Months of Listing

HMA Agro Industries Ltd. is an FMCG small-cap company. Meat products are exported by HMA Agro Industries to forty nations. After four months after listing, the company announced its first-ever stock split. The company previously ex-traded a final dividend of Rs 3 per share with a face value of Rs 10 each on September 15, 2023. This means that having benefited its shareholders with the dividend payout, the company has once again announced a stock split action with the goal of increasing the stock's liquidity in the capital market and, consequently making shares more affordable for potential/small investors.

"The Board considered the proposal for sub-division of 1(one) equity share of the Company having face value of Rs 10/- each into 10 (Ten) equity shares having face value of Rs 1/- each, subject to regulatory/statutory approvals as may be required and the approval of the shareholders of the Company. The record date for the sub-division of equity shares shall be decided by the Board and will be intimated to the exchanges," said HMA Agro Industries in a stock exchange filing.

In July of this year, HMA Agro Industries shares were listed at Rs 615 a share on the BSE, which was more than 5% higher than the upper price band of the IPO of Rs 555-585. The shares started trading at a 6.8% premium, or Rs 625, on the NSE. The HMA Agro Industries IPO comprised an offer for sale (OFS) by promoters for Rs 330 crore in addition to a fresh offering for Rs 150 crore.

On Thursday, the shares of HMA Agro Industries opened on the BSE at Rs 680 apiece. While writing this copy the scrip was trading at Rs 668.55 apiece down by down by 3.69%. The scrip made a 52-week-high of Rs 839.95 on (06/09/2023) and a 52-week-low of Rs 564.80 on (13/07/2023). During Q2FY24, the company reported a promoters' shareholding of 83.61%, FIIs stake of 8.02% and public stake of 8.37%.