Exxaro Tiles Ltd, a prominent player in the refractory ceramic industry, has announced its first-ever stock split to enhance share liquidity and attract more small investors. This move, approved by the company’s Board of Directors on October 14, 2024, marks a strategic effort to make its shares more accessible and appealing in the market.
Stock Split Details
The company plans to subdivide its existing equity shares from a face value of ₹10 to ₹1 each. The split is subject to shareholder approval, with the record date set for Friday, December 13, 2024. Upon completion, the increased number of shares in circulation is expected to boost trading activity and improve liquidity.
BofA Securities Europe SA recently acquired 6,66,366 shares of Exxaro Tiles at ₹96.22 per share, amounting to ₹6.41 crore. This purchase represents 1.48% of the company’s outstanding equity, signaling strong institutional interest in the company’s future.
About Exxaro Tiles Ltd
Founded in 2008, Exxaro Tiles Ltd is known for manufacturing and marketing a wide array of high-quality vitrified tiles. Its product portfolio includes double-charge vitrified tiles, glazed vitrified tiles, full-body vitrified tiles, wall tiles, and parking tiles. The company’s tiles are widely used in large-scale projects such as educational institutions, hotels, retail malls, and hospitals.
The company prides itself on innovation, incorporating advanced features such as 3D effects, FGVT technology, high gloss finishes, and full-color body vitrified tiles. With a strong clientele, including industry giants like Lodha, Amul, and Shapoorji Pallonji, Exxaro Tiles has established itself as a trusted name in the industry.
Financial Performance
Despite its growth potential, Exxaro Tiles faces financial challenges:
- In Q1FY25, the company reported total income of ₹60.04 crore but incurred a net loss of ₹4.27 crore.
- As of March 2024, the company’s total debt stood at ₹97.45 crore, highlighting a need for financial improvement.
However, with a market cap of over ₹400 crore and a strategic focus on enhancing shareholder value through the stock split, Exxaro Tiles is looking to turn things around.
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