Capital India Finance Ltd. (CIFL), a technology-driven non-banking financial company (NBFC), has announced a stock split in the ratio of 5:1. This means that each existing equity share of ₹10 face value will be split into five new shares of ₹2 face value.
The move aims to increase liquidity, make shares more affordable for retail investors, and broaden the shareholder base.
Key Details of the Stock Split
- Stock Split Ratio: 1:5 (One existing share of ₹10 will be split into five shares of ₹2 each).
- Record Date: February 17, 2025 – Shareholders holding shares as of this date will be eligible for the stock split.
- Objective: To improve stock liquidity and make it more accessible to retail investors.
- Implementation Timeline: The company expects to complete the stock split within three months after shareholder approval.
In its exchange filing, Capital India Finance stated:
“The company has fixed Monday, February 17, 2025, as the record date for determining the entitlement of equity shareholders for the sub-division of equity shares.”
Financial Performance
- Q3 FY25 Results Date: February 14, 2025 – The company will announce its Standalone and Consolidated Financial Results for the quarter and nine months ending December 31, 2024.
- Trading Window Closure: The trading window for insiders has been closed since January 1, 2025, and will reopen on February 16, 2025.
- Recent Financials: In Q2 FY25, the company reported:
- Consolidated net profit: ₹3.06 crore (up from ₹0.10 crore in Q2 FY24).
- Total income: ₹167.34 crore (down 6.3% YoY).
About Capital India Finance Ltd.
Incorporated in 1994, Capital India Finance Ltd is an India-focused, technology-driven financial services platform that specializes in customized finance solutions for SMEs and MSMEs.
Business Segments:
- SME & MSME Financing: Provides tailored loans to small and medium businesses.
- Real Estate & Structured Finance: Offers loans against property and corporate finance solutions.
- Forex & Fintech Services: Engaged in money transfer services (MTSS) and digital financial solutions.
With a strong focus on India’s growing SME sector, CIFL aims to bridge the financing gap for businesses underserved by traditional lenders.
The 5:1 stock split aligns with its strategy to enhance market participation and shareholder value. With the record date set for February 17, 2025, investors are closely watching the company’s Q3 results and business expansion plans.
This stock split further strengthens CIFL’s position as a key player in India’s SME financing sector, making it an attractive option for both existing and new investors.
Disclaimer: This article is for informational purposes only and should not be considered as investment advice.
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