Indo Borax zooms 37% in two days after firm announces stock split plan

Shares of Indo Borax & Chemicals surged 14 per cent to hit a 52-week high of Rs 1,067.40 on the BSE in intra-day trade on Tuesday, up 37 per cent in the past two days, after the company announced stock split plan.

The company, which is engaged in the commodity chemicals business, on Monday announced that a meeting of the board of directors is scheduled to be held on June 14, 2021, inter alia, to consider and approve the annual financial results of the company for the financial year ended March 31, 2021.

The board will consider and recommend dividend, if any, for the financial year 2020-21 and consider the proposal for sub-division/split of the company's equity share having face value of Rs 10 each including matter related/incidental thereto, Indo Borax & Chemicals said in an exchange filing.

Generally, a company plans to go for a stock split to make the shares more affordable for small retail investors and increase liquidity. Thus far, in the calendar year 2021, the stock of Indo Borax has zoomed 126 per cent as compared to a 9 per cent rise in the S&P BSE Sensex.

Currently, Indo Borax is trading under the X group and is only listed on the BSE. Indo Borax operates a most modern Boric Acid and Borax plant at Pithampur, Madhya Pradesh.

At 10:35 am, the stock was trading 11 per cent higher at Rs 1,040, as compared to a 0.13 per cent rise in the S&P BSE Sensex. Around 27,000 shares had changed hands on the counter so far, compared with an average sub 10,000 shares that were traded daily in the past two weeks.