Specialty chemical maker Fineotex Chemical Ltd has received shareholders’ approval for a stock split and a bonus share issue, the company said in a regulatory filing on Monday.
According to the filing, 99.99% of votes cast were in favour of both resolutions during the company’s extraordinary general meeting (EGM).
In September, Fineotex Chemical’s board had approved the proposal to subdivide the face value of its shares from ₹2 to ₹1 each, in a 1:1 ratio. After the split, each existing equity share of ₹2 will be divided into two shares of ₹1 each.
Additionally, shareholders have also greenlighted a bonus issue in the ratio of 4:1, meaning four fully paid-up equity shares of ₹1 each will be issued for every one share of ₹1 each held post the stock split.
This marks Fineotex Chemical’s second-ever bonus issue — the first was announced in 2015 in a 1:1 ratio, according to BSE data.
The company said it will announce the record date later to determine eligible shareholders for both the stock split and bonus issue.
Notably, ace investor Ashish Kacholia is among the company’s shareholders, as per Trendlyne data.
Shares of Fineotex Chemical closed 0.85% lower at ₹253.95 on the NSE on Monday.
Disclaimer: This article is for informational purposes only and should not be construed as investment advice. Investors are advised to conduct their own research or consult a certified financial advisor before making any investment decisions.
