Shriram Finance shares drop 4% as stock trades ex-split from today

Shares of Shriram Finance tumbled approximately 4% to their intraday low of Rs 540.65 in Friday’s session as the stock began trading on an ex-split basis. The company had set January 10 as the record date to determine shareholder eligibility for its 1:5 stock split.

“In furtherance to our earlier intimations dated October 25, 2024, November 20, 2024, December 20, 2024 on the captioned subject and pursuant to approval accorded by the Shareholders of Shriram Finance Limited (“the Company”) through Postal Ballot on December 20, 2024 for the Sub-division/Split of face value of Equity Shares of the Company and Regulation 42 of the Listing Regulations, the Company has fixed Friday, January 10, 2025 as the “Record Date” for determining entitlement of Equity Shareholders for the purpose of Sub-division/Split of face value of Equity Shares of the Company,” the company had informed in a previous filing to the exchanges.

Ex-split trading begins when a stock’s price is adjusted following a stock split, which increases the number of outstanding shares while proportionally decreasing the price, maintaining the company’s market capitalization.

Investors who purchase the shares on or after the ex-split date will not receive the additional shares from the split as only pre-existing shareholders are entitled to them.

Also read: HSBC downgrades India to ‘Neutral’. Cites softening profits, high valuations

Shriram Finance stock split history

The stock split under mention marks the first-ever stock split for Shriram Finance.

Shriram Finance share price performance

The shares of Shriram Finance have gained 30.2% in the last one year and 1.3% in the last 6 months, However, in the last 3 months and 1 month, the stock has slipped by 16.7% and 8.9% respectively.

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