Sagar Cements is currently the top gainer on the BSE. The stock opened 11% higher at Rs.955 and went on to hit a new 52-week high at Rs.1032.15. Volumes are up almost 7 times.
The company yesterday announced that its Board will be meeting on the 1st of July to consider sub-division of equity shares of the company from Rs.10/- each into an appropriate amount.
When there is a subdivision of shares, the company changes the structure of its share capital by increasing the number of shares originally issued and decreasing the par value of each. Therefore the value of each individual share is decreased and the number of total shares is increased.
The company’s 1 MTPA integrated unit at Indore and .5 MTPA grinding unit at Odisha will go on stream by end of Sept’21. This is expected to give the company a better geographical reach, especially. Post the commissioning, company would scale to a capacity of 8.25 MTPA.