By Malvika Gurung
Investing.com -- Shares of the diamond jewellery company Deep Diamond (BO:DEED) India hit a 5% upper circuit at Rs 16 apiece on Friday, as they began trading ex-split in the ratio 10:1 for the session.
The micro-cap company’s Board announced undertaking a sub-division of equity shares of face value of Rs 10 apiece to shares of face value of Re 1 each.
The record date for the corporate event has been set as Friday, Jan 20, 2023.
Splitting a stock typically increases the stock’s liquidity in the capital market and makes it more affordable for small investors. Doing so increases the number of shares in the market while keeping the stock’s market capitalization unchanged.
Deep Diamond India is a multibagger stock that has skyrocketed 951.7% in one year and rallied over 350% in the past six months.
Further, the micro-cap company released its earnings results for the Dec quarter earlier this week, posting a whopping 91% sequential rise in its net profit, led by lower expenses.