Last Updated: June 27, 2023, 2:22 PM IST
HAL Stock Split, Dividend: The Board of Directors of the public defence company, Hindustan Aeronautics (HAL), on Tuesday, June 27, approved the sub-division of equity shares. In its regulatory filing, the company said its board has agreed to the sub-division or stock split of the existing 1 equity share of the face value of Rs 10 each fully paid up into 2 Equity Shares of Rs 5 each fully paid up. The Record Date for the purpose of the sub-division of equity shares shall be Friday, September 29, 2023, if the sub-division is approved by the shareholders at the AGM, the filing added.
The company has also approved the final dividend of Rs 15 per equity share.
Besides, the stock has been removed from the Future & Options (F&O) ban list. Due to its futures and options contracts exceeding the open interest caps, the stock was suspended from trading on June 26.
HAL is backed by a healthy order backlog of around Rs 82,000 crore and robust order pipeline of over Rs 1,50,000 crore in the long term.
The company is in advanced talks for potential export partnerships and collaborations with countries such as Argentina, Philippines, Egypt, Sri Lanka, Maldives, Botswana, Thailand, and Nigeria which is likely to improve the long term growth prospects of HAL. Moreover, the government’s focus on the ‘Make in India’ initiative and reducing dependency on imports bodes well for a domestic player like HAL.