M&M to double equity with 1:2 split

The leading SUV and commercial vehicles maker Mahindra & Mahindra (M&M) today sad it has got the approval of its shareholders go in for stock split.

The shareholders passed a resolution to this effect through postal ballots with requisite majority, M&M said in a filing to the Bombay Stock Exchange (BSE).

The shareholders gave their permission to sub-divide every Rs 10 ordinary equity share into two ordinary shares of Rs 5 each, it said.

The shareholders also gave their nod for amending Clause 5 of the memorandum of association of the company required for this purpose, it said.

A special resolution was also passed by the shareholders through postal ballot to amend Clause 3 of the articles of association of the company, it said.

The company recently inaugurated a greenfield facility at Chakan in Pune. The company plans to use the new plant to manufacture its new portfolio of pick-ups, a yet-to-be-launched SUV (sports utility vehicle) and its range of medium and heavy trucks made under its association with Navistar Inc of the US.

Shares of the company closed at Rs 1,105.35, down 2.77 per cent from the previous close on the BSE.