1:10 stock split: This pharma stock hits upper circuit as shares trade ex-date

Shares of specialty chemicals Sudarshan Pharma Industries hit an upper circuit today as they traded ex-date for 1:10 stock split today. The counter opened flat at Rs 42.15 on the BSE but later gained to hit a high of Rs 44.25.

According to an exchange filing,  the board approved the sub-division in the ratio of 1:10. It means that each stock of Rs 10 face value will split into 10 shares of Re 1 each.

This is the first-ever stock split announced by the company, which has a market cap of Rs 1057.70 crore, since its listing more than a year ago. 

The counter has given a multibagger return of 450 per cent in one year. 

Meanwhile, benchmark equity indices Sensex and Nifty bounced back in early trade on Friday after falling sharply in the previous session driven by value buying at lower levels and a rally in blue-chip bank stocks.

Buying by domestic institutional investors and firm trends in US markets also added to the recovery in domestic equities.

The BSE benchmark Sensex jumped 506.58 points to 77,662.37 in early trade. The NSE Nifty climbed 162.9 points to 23,512.80.

From the 30-share Sensex pack, State Bank of India, ICICI Bank, IndusInd Bank, Tata Motors, Power Grid, Bajaj Finance, Bajaj Finserv and Tech Mahindra were the biggest gainers.

Adani Ports, Axis Bank, Mahindra & Mahindra, Titan and Sun Pharma were the major laggards.

Eight of the ten listed Adani group firms were trading lower during the morning trade, extending their previous day's fall, after billionaire industrialist Gautam Adani was charged in the US for alleged bribery and fraud.

Foreign Institutional Investors (FIIs) offloaded equities worth Rs 5,320.68 crore on Thursday, while Domestic Institutional Investors (DIIs) bought shares worth Rs 4,200.16 crore, according to exchange data.

In Asian markets, Seoul and Tokyo were trading in the positive territory while Shanghai and Hong Kong quoted lower.