Stock Split: This government company can split, information given about board meeting

News Topical, Digital Desk : Defense sector government company BEML may do a stock split this month. The company has informed about its plan after the market closed today. In the information sent to the stock market, the company said that the board meeting of the company is going to be held on Monday 21st July in which the board will consider the proposal of stock split. In Friday's trading, the company's stock closed at 4425.8 with a decline of about 4 percent.

Which other companies announced split?

This week another company has announced split. Just yesterday, Tourism Finance Corporation of India had informed the stock market that the board has approved the conversion of stocks with face value of Rs 10 into stocks with face value of Rs 2 each. That is, the existing stock will be converted into 5 stocks. According to the company, the split will be completed within 2 months of getting all the approvals. The company said that the record date for the split will be decided later. On Friday, the stock saw a slight decline and the stock closed at 285, down 0.18 percent. 

What is stock split? Under stock split, the company breaks the stock with high face value into stocks with low face value. This increases the number of shares, however, due to no change in the market price, the price of every share decreases. Companies announce split so that the liquidity of equity increases and a larger class of investors can buy it than before. 

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