Hanung Toys hits the roof

Hanung Toys has been up in the green since yesterday. It closed at Rs.15.67 and today morning, it has opened at Rs.16.45, hitting the 5% upper circuit. Over 1.16 lakh pending buy orders remained on the counter.

The stock has hit the roof after the company announced yesterday morning that it has decided to withdraw the decision for sub-division of shares from face value of Rs. 10/- per share to the Face value of Rs. 5/- per share as per decision taken by the company on 24th July 2013 (Approval of shareholders taken through postal ballot). The decision to withdraw the stock split was taken as the stock price of company share has fallen steeply and quoting approximately Rs. 15.00 The purpose of sub-division was to make the company share more affordable for the small retail investors to invest in the company, which it already is now. The market is obviously very happy with this decision which otherwise would have diluted the stock price further.

Thus the earlier announce Book Closure date, from 14th September to 18th September will be only for Annual General Meeting (AGM) of the company.