2 Stocks That Will Witness A Stock Split In July: Key Details

Two stocks are set to witness stock split in the month of July. When stock split takes place its leads to a rise in the number of shares of a company's stocks sans any change in the shareholders' equity. Companies frequently opt for stock split to make the stock more economical for investors. We have compiled a list of stocks splits that will take place in July:

Company Name	Old Face Value	New Face Value
Hindustan Foods Ltd	10	2
Shanti Educational Initiatives Ltd	10	1

1. Hindustan Foods Ltd

HFL has earned specialization in setting up one-stop contract manufacturing solutions and the ability to consistently deliver quality products. It offers flexible business models suitable for any size of customer and across product categories. It was established in 1988 as a result of Dempo Group's foray into the FMCG segment through a joint venture with Glaxo India Limited, with the objective of manufacturing nutritional food products.
The stock split will take place from the face value of (FV) of 10 to Rs 2 in the ratio of 10:2 The ex-split date is July 21, 2022. The record date is fixed as July 22, 2022.

In the company's filing to the BSE, "The board of directors of the company has passed the necessary resolution through circular resolution Today, July 5, 2022 and has fixed the "Record date" on Friday, July 22, 2022 for the purpose of Sub-Division of every 1 (One) Equity Shares of the Nominal/ Face Value ofRs.10/ - (Rupees Ten Only) each into 5 (Five) Equity Shares of the Nominal I Face Value of Rs.2 /- (Rupees Two Only) each."

The current market price of the stock is Rs 1991 apiece with a gain of 0.55% in today's trading. The company has a market capitalization of 4,489 crore. It has a PE of 100.92 which is higher than the sector PE of 66.98.

2. Shanti Educational Initiatives Ltd

It was founded in 2009 is a venture of Chiripal Group based in Ahmedabad, India. SEIL is school management solutions provider and one of the fastest growing education company that plans, builds and manages educational institutions right from play school to grade 12. We provide optimum solutions to the various challenges being faced by K-12 schools.

The stock split is set to take place from the FV of 10 to Re 1 in the ratio of 10:1. The ex-split date is July 21. The company's board of director stated in the exchange filing, "Pursuant to Reg. 42 of the Listing Regulations and relevant provisions of the Companies Act, 2013 and Rules made thereunder, the Company has fixed Friday, July 22, 2022 as the 'Record Date' for the purpose of determining the eligibility of Shareholders for the purpose of sub-division /split of each equity share having face value of Rs. 10/- (Rupees Ten only) each, fully paid-up into Ten (10) equity shares having face value of Rs. 1/- (Rupees one only) each fully paid-up.

The current market price of the stock is Rs 830 and it gained 5% in today's trading. The PE is 1661 which is higher than sector PE of 59.87. The market capitalization is Rs 1337 crore.

 

Disclaimer

The above 2 stocks are collated just for the stock split action planned for them. This should not be construed as an investment advice in them.