Shares of Shankara Buildpro Ltd. began trading adjusted for their 1:5 stock split on Thursday, October 8, which serves as the record date announced by the company. According to reports from CNBC TV18, the decision to split the stock was announced on August 6 this year, marking the first instance of the company announcing such a corporate action. The company will divide one share currently carrying a face value of ₹10 each into five shares with a face value of ₹2 each. As per MINT, this represents the effective last date for investors to purchase shares before the record date.
Shareholders who held shares in their demat account as of Wednesday's closing will be eligible for the stock split, while those purchasing shares today will not be eligible for the same. As reported by CNBC TV18, the split works by converting existing holdings - for example, an investor with 100 shares valued at ₹10,000 each will receive 500 shares worth ₹10,000 total after the split. The stock price will adjust according to the split ratio, ensuring the investor's total value remains unchanged despite the increased share count. According to MINT, Wednesday, October 7, marked the final trading day for investors to be eligible for the corporate action.
Shankara Buildpro is the demerged trading and marketplace entity of Shankara Building Products, which began trading on both NSE and BSE on January 9 this year. According to CNBC TV18, shareholders of Shankara Building Products who owned shares as of the demerger record date of September 24, 2025, received one share of Shankara Buildpro for every one share held. At the end of the June quarter, over 22,000 small retail shareholders with authorized share capital of up to ₹2 lakh held a 14.6% stake in the company, while promoters maintain a 40.2% stake.
Shares of Shankara Buildpro ended little changed on Wednesday at ₹1,300, as reported by CNBC TV18. The stock has risen 60% in value so far this year. Companies typically implement stock splits to make the stock price more attractive for smaller investors and to improve liquidity within the stock. This represents the first corporate action of this nature for the company since its demerger from Shankara Building Products.
