• Source:JND
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Following the announcement of the company's first-ever stock split, which divided each equity share into ten smaller units, the shares of small-cap company Elitecon International surged by almost 5% during intraday trading on Monday. The share was trading at Rs 549.0 at the time of writing, up 4.99 per cent from the closing price the day before.

The board has authorised a 10:1 stock split, according to the company's regulatory filing dated June 13, 2025. This implies that ten shares of Rs 1 each will be created from each fully paid-up equity share with a face value of Rs 10.

On June 2, 2025, the company's Extraordinary General Meeting (EGM) approved this decision.

Record Date

The record date for this corporate action has been set by the company for Wednesday, June 25, 2025. The advantages of the stock split will be available to shareholders who own Elitecon shares on that date.

"We wish to inform you that Elitecon International Limited has fixed Wednesday, June 25, 2025 as the Record date to determine the entitlement of Equity Shareholders for Sub- division/split existing Equity shares of the Company from 1 (one) Equity share having face value of Rs.10/- (Rupees Ten only) each fully paid-up, into 10 (Ten) Equity Shares having face value of Rs. 1/- (Rupee One only) each fully paid-up as approved by the Members of the Company in Extra ordinary General meeting held on Monday, June 02, 2025." the company said in an exchnage filing.

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The Significance of Stock Splits

Making shares more accessible and affordable for a larger group of retail investors is the main goal of a stock split. Following a split, the market price changes proportionately to the split ratio, maintaining the same level of market capitalisation overall.

Because of the lower price per share, stock splits can also increase trading volumes and improve liquidity.

Stock Performance

With a market valuation of Rs 8,358 crore, Elitecon International is well-known for producing tobacco-based goods. In 2025, the company's stock produced impressive multibagger returns. The stock has risen 46% in the last month alone.

It has increased by 408% since the start of this year. The stock did, however, close 5% lower on the NSE on Friday, June 13, at Rs 522.90 per share.

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Disclaimer:  This is just a piece of news about recent developments in the stock. Jagran does not advise investing. Please take an expert advise before investing.