5:1 Stock Split: Company announces record date - Check other details

5:1 Stock Split: Multibagger pharmaceutical stock Remedium Lifecare has informed exchanges that its board of directors has fixed a record date for the subdivision of equity shares. Ahead of the record date, the company has stated that the division will take effect under the new ISIN.

"The new ISIN of the Company is INE549S01036 and Subdivision/ Stock Split of Equity Shares will take effect under the New ISIN," the company said in an exchange filing. 

It must be noted that ISIN, a unique 12-digit alphanumeric code, is important for buying or selling a stock. 

Remedium Lifecare Stock Split

According to the company, the board has approved the subdivision of stock in the ratio of 5:1 i.e. an equity share of Rs 5 will be split into five equity shares of face of Re 1 each.
 
"Sub-division of Face Value of Equity Shares from Rs. 5/- each to Face Value of Re. 1/- each," the filing reads.

Remedium Lifecare Stock Split Record date

The company in the exchange filing said that the board has fixed February 23 as a record date for this corporate action. 
 
The record date is important as it helps a company finalise the list of shareholders eligible for its corporate action like payment of dividends or stock split.

What is a Stock Split?

A stock split occurs when a company issues more shares to increase the stock's liquidity. As a result, the number of shares increases but the company’s total value is the same before and after a split.