CAMS announces 1:5 stock split to enhance share liquidity and retail participation

Registrar and transfer agent of mutual funds, Computer Age Management Services Ltd (CAMS), on Friday (October 10), said its board of directors has approved a stock split in the ratio of 1:5, sub-dividing one equity share of face value ₹10 each into five equity shares of ₹2 each, fully paid-up. The move is subject to shareholder approval through a postal ballot.CAMS said the decision aims to enhance the liquidity of its equity shares, improve affordability and accessibility for retail investors, and broaden the shareholder base. Following the sub-division, the authorised share capital will remain unchanged at ₹51.25 crore, though the number of authorised shares will increase from 5,12,50,000 shares of ₹10 each to 25,62,50,000 shares of ₹2 each.

Similarly, the subscribed and paid-up share capital will remain at ₹49.53 crore, with the total number of equity shares rising from 4,95,30,127 shares of ₹10 each to 24,76,50,635 shares of ₹2 each.

Also Read: CAMS Q1 Results | AUM crosses ₹50-lakh crore milestone; revenue rises, net profit flatThe company added that the record date for the share split will be announced after receiving shareholder approval. The process is expected to be completed within two months from the date of such approval, subject to any statutory or regulatory clearances.

CAMS will also make a corresponding alteration to the Capital Clause of its Memorandum of Association to reflect the revised face value, pending shareholder consent. The company confirmed that it has issued only one class of equity shares, and hence, the sub-division applies uniformly to all shareholders.

Shares of Computer Age Management Services Ltd ended at ₹3,865.00, up by ₹33.90, or 0.88%, on the BSE.

Also Read: CAMS Q4 Results | Net profit, revenue up but margin shrinks; declares dividend of ₹19 per share