Penny stock under Rs 10 hit upper circuit as Board announces 5:1 stock split and rights issue worth Rs 49 crore! – Dalal Street Investment Journal

Penny stock under Rs 10 surges as Board reveals 5:1 stock split and Rs 49 crore rights issue!

A penny stock priced below Rs 10 experienced a sudden spike as its Board announced a 5:1 stock split and a rights issue worth Rs 49 crore. This news caused the stock to hit its upper circuit limit.

Investors were quick to react to the announcement, with many seeing the potential for growth in the stock following these strategic moves by the company. The stock split will increase the number of shares available, making them more affordable for investors, while the rights issue will inject additional capital into the company.

This development has piqued the interest of market participants, who are closely watching how the stock will perform in the coming days. The company’s decision to undertake these actions reflects its confidence in its future prospects and its commitment to creating value for its shareholders.

Overall, the news of the stock split and rights issue has generated excitement in the market, with investors eagerly anticipating the potential benefits that these moves could bring to the company and its stock price.