Stock Split: KIMS to divide one share into 5; Shares gain 15% in a month
Stock Split: KIMS to divide one share into 5; Shares gain 15% in a month
Shares of Krishna Institute of Medical Sciences (KIMS) Ltd. announced on Friday (June 28) that it will split one of its equity share of face value ₹10, into five equity shares with a face value of ₹2 each.
This is the first such corporate action undertaken by the company.
A stock split is generally considered by a company to increase its outstanding shares, and also improve trading liquidity by making the stock more affordable to its shareholders.
Record date for the stock split will be intimated in due course.
Earlier on June 24, the board of KIMS already said that it was planning to split one equity share of ₹10 into five equity shares of ₹2 each.
Incidentally, June 28 also marks three years of the company's stock market debut. The stock had listed on June 28, 2021, at a premium of 22% as against its issue price.
In the three years since its listing, shares of KIMS have returned 165% to its shareholders from its issue price of ₹825 per share, as of the stock's current levels.
However, the stock is down 9% from its recent peak of ₹2,356, which is a record high for the stock that it scaled on February 29, 2024.
Krishna Institute of Medical Sciences is one of the largest corporate healthcare groups in India, which has hospitals present in Telangana, Andhra Pradesh and Maharashtra. It provides multi-disciplinary healthcare facilities at its hospitals.
At 11:13 am, the scrip was trading 1.38% higher at Rs 2,127.25 apiece on the NSE. The stock has risen 7% in 2024 so far and is up 17% in the last 12 months.