Shares of Varun Beverages shot up sharply as soon after the company announced the record date for its upcoming stock split.

What Happened: PepsiCo‘s India bottling partner, has announced September 12 as the record date for its upcoming stock split. The company had initially revealed its intention to split its equity shares during its quarterly results on July 30, 2024.

This split will reduce the face value of each share from ₹5 to ₹2, thereby increasing the number of outstanding shares and potentially improving trading liquidity by making the stock more affordable to a broader range of investors.

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Following the announcement of the record date for the split, the company's shares saw an uptick. The stock went up over 2% to hit an intraday high of ₹1,534.

This is not the first time Varun Beverages has undertaken such a move. Last year, the company executed a stock split, reducing the face value of its shares from ₹10 to ₹5.

Price Action: VBL’s share price was up 1.75% to trade at ₹1,527.15 on Monday afternoon.

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