News

1:1 Bonus & 1:10 Stock Split: Shares of Sikko Industries Limited, a leading agrochemical company, gained around 3 per cent in today’s trading session after the company’s board approved a 1:10 stock split and a 1:1 bonus issue.

The stock closed at Rs 103.00, up Rs 3.94 (3.98 per cent) from the previous close of Rs 99.06. During the session, the shares opened at Rs 101.00, touched a high of Rs 104.00, and a low of Rs 101.00. The company’s market capitalization stood at Rs 224.95 crore, with a face value of Rs 10 per share.

The 1:10 stock split subdivides each equity share of Rs 10 face value into 10 shares of Re 1 each, fully paid-up, improving liquidity and making shares more affordable to retail investors. The 1:1 bonus issue, granting one bonus share for every existing share, will effectively double the shareholder base and enhance investor value without any additional capital outlay.

The company has announced a 1:1 bonus issue, under which investors will receive one bonus share for every one share held. This means that if an investor currently holds 100 shares, the total number of shares after the bonus issue will become 200 (100 × 2). The face value of each share will remain unchanged at Rs 10.

In the next step, a 1:10 stock split will take place. Each share with a face value of Rs 10 will be split into 10 shares of Rs 1 each. After this split, the investor’s total shareholding will increase from 200 to 2,000 shares (200 × 10). Consequently, the new face value per share will be Rs 1.

In Q1FY26, the company reported a 14 per cent increase in revenue to Rs 18.10 crore, while net profit rose 26 per cent to Rs 2.18 crore.

Abhay Shukla is a Senior Sub-Editor at Zee Business, where he covers the stock markets, corporate news, personal finance, technology, and auto sectors.

Prior to joinin