Diamond Power Infrastructure Ltd. announced on Friday that its board has approved a stock split, dividing one equity share of Rs 10 face value into 10 shares of Re 1 each. The record date for this split will be communicated after obtaining shareholder approval during an extraordinary general meeting.
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The company aims to enhance capital market liquidity, broaden its shareholder base, and make shares more affordable for small retail investors through this split. Following the adjustment, the authorized share capital will increase significantly, from over 38.58 lakh shares to more than 385 crore shares.
Diamond Power specializes in providing services and manufacturing products for power transmission and distribution in India, particularly focusing on high-voltage cable wire. This strategic move aligns with the company’s goal of increasing accessibility for smaller investors.
In addition to the stock split, the board also approved an investment of Rs 2.99 crore in its wholly-owned subsidiary, DICABS Nextgen Special Alloys Pvt. This investment will be executed through a subscription to a rights issue of up to 29,99,700 equity shares at Rs 10 each.
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On the stock market, Diamond Power shares surged 4.4% intraday, reaching a record high of Rs 1,898.5 on the NSE. The stock has performed exceptionally well, rising 2,975% over the past year and 1,067% year-to-date, with today’s trading volume at 2.1 times its 30-day average. The relative strength index stood at 71, indicating strong momentum.