Colgate-Palmolive to split stock, raise dividend

Consumer product maker Colgate-Palmolive Co says its board approved a 2-for-1 stock split via a stock dividend.

The maker of Colgate toothpaste and Palmolive dish soap also will raise its dividend 10%.

Companies split stock to reduce the value of their shares if they think they are too high.

The New York company said Thursday the 2-for-1 split will occur on April 23, with share distribution on May 15. The total number of shares outstanding will increase to 936 million from 468 million.

The regular quarterly dividend will be raised 6 cents to 68 cents, payable on May 15 to shareholders of record as of April 23.

Shares of Colgate-Palmolive rose nearly 2% to $117.45 in premarket trading.