Multibagger penny stock AA Plus Tradelink locked in 5% lower circuit as board to consider stock split and bonus issue | Stock Market News
Source: Live Mint
Shares of AA Plus Tradelink was locked in its 5 percent lower circuit at ₹20.63 on Thursday, October 10 after the company announced that its board will meet on October 24 to consider stock split and bonus issue.
As per the filing, the Board of Directors of AA Plus Trade Link Ltd. is set to meet on Thursday, 24th October 2024, to consider two key corporate actions: a stock split and a bonus issue.
For the stock split, the proposed ratio is up to 1:10, aimed at increasing liquidity by boosting the number of outstanding shares and reducing their face value. This move is expected to make the stock more accessible to retail investors and increase market participation.
Meanwhile, the bonus issue, with a proposed 1:1 ratio, aims to reward shareholders by issuing additional shares in proportion to their holdings. This will be executed by capitalizing the company’s reserves, demonstrating its strong financial health while enhancing shareholder value without affecting cash reserves.
The proposed actions align with the company’s long-term strategy to increase shareholder value, improve market accessibility, and enhance liquidity. SEBI and BSE regulations, including those related to stock splits, bonus issues, and insider trading, are being strictly followed, the exchange filing stated.
Shareholders will be invited to discuss and vote on these actions at the upcoming Annual General Meeting, with further details to be communicated in due course, it added.
