Stock Bonus, Split: This housing finance company shares hit 52-week high - check details
Star Housing Finance has announced the issuance of bonus equity shares in 1:1 ratio i.e. one bonus equity share for every one fully paid-up equity share.
Star Housing Finance (BSE: 539017) share prices hit 52-week high of Rs 211 on Thursday on the back of a stock bonus and share split announcement made by the company. The scrip was trading at Rs 210.35 at 1:30 pm. Earlier on Wednesday, the scrip closed at 206.80 apiece. The share has witnessed a surge ever since the company announced the issuance of bonus equity shares and the results of the second quarter on October 18.
Star Housing Finance Share Bonus News
Star Housing Finance has announced the issuance of bonus equity shares in 1:1 ratio i.e. one bonus equity share for every one fully paid-up equity share.
Star Housing Finance Share Split
The company has also announced subdivision of stock split in 1:2 ratio. "sub_division/split of 1 (one) existing equity share of face value of Rs. 10/- (Rupees Ten only) into two (2) equity shares of face value of Rs. 5/- (Rupees Five Only) fully paid up," the company said in the exchange filing.
Explaining the rationale behind the split decision, the company said that it will increase the liquidity in the capital market.
What is a stock split?
In a stock split, a company issues additional shares to shareholders. The company increases the number of shares to boost the stock's liquidity.
Meanwhile, the company recorded the highest disbursements and registered a year-on-year-358 per cent growth for the second quarter of the financial year 2022-23. The net worth of the company is now set to cross Rs 100 crore - subject to all approvals and compliances.
In terms of revenue, the total income of the company registered a year-on-year 64 per cent growth and quarter-on-quarter 40 per cent growth.
Star Housing Finance, founded in 2009, is a rural-focused housing finance company.
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