Tata Steel board to consider stock split proposal on 3 May
Tata Group company, Tata Steel is set to consider a stock split proposal on May 3. Additionally, the company’s board of directors will also look into dividend recommendations for the financial year FY22.
In its regulatory filing on Sunday, Tata Steel stated that a meeting of the board of directors of the company will be held on Tuesday, May 3, 2022.
Tata Steel said that will consider a proposal for a sub-division of the equity shares having a face value of Rs 10 each of the company.The Company did not specify the ratio of stock split but will most likely give the information after the board approves the proposal on May 3.
Generally, during a stock split, the number of outstanding shares rises while the price per equity share gets cheaper proportionately. Sub-division of shares enables to improve liquidity and further makes the stock affordable for investors.
Going forward, the Tata Steel board will consider the recommendation of dividends for the financial year ended March 31, 2022, also on the same day.
Notably, the board will be meeting to consider and take on record the audited Standalone and unaudited Consolidated financial statements and results for the quarter ended March 31, 2022.
With this announcement, the scrip is expected to get re-rated strongly in coming months. Accumulate at current price.