Stock Split: This steel maker will divide its shares after 1,160% returns in 18 months

Jai Balaji Industries Ltd., a steel manufacturing company, has announced that it will split its equity shares. The announcement was made on Tuesday, November 12, along with the company's September quarter results.

Jai Balaji Industries will now split one equity share, which currently carries a face value of ₹10, into five equity shares, which will carry a face value of ₹2 each.

This is the first instance of the company announcing a stock split.

Record date for the said split will be intimated in due course, Jai Balaji Industries said in an exchange filing.

Jai Balaji Industries has never in its history, recommended a bonus issue either.

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.

Shares of Jai Balaji Industries have seen a surge of over 1,100% in the last 12-18 months. The stock, which traded at ₹80 in June 2023, has surged to levels of over ₹1,000, which it closed at on Tuesday.

In fact, the stock has corrected 23% from its recent peak of ₹1,314, post which, it has these returns of over 1,100%.

For more on Jai Balaji Industries' September quarter results, click here.