Description
KSE Ltd has announced a sub-division of equity shares from Rs.10/- per share to Re.1/- per share (1:10 split) with record date of October 28, 2025.
Summary
KSE Ltd (Scrip Code: 519421) has announced a sub-division of its equity shares with a record date of October 28, 2025. Each existing equity share with a face value of Rs.10/- will be sub-divided into ten equity shares with a face value of Re.1/- each. The existing ISIN (INE953E01014) for Rs.10/- paid-up shares will become invalid for exchange transactions from October 28, 2025, and a new ISIN for Re.1/- paid-up shares will be communicated separately.
Key Points
- Company: KSE Ltd (Scrip Code: 519421)
- Corporate Action: Sub-division of equity shares
- Split Ratio: 1:10 (One share of Rs.10/- becomes ten shares of Re.1/-)
- Record Date: October 28, 2025
- Effective Date: October 28, 2025
- Notice Reference: DR-744/2025-2026
- Current ISIN: INE953E01014 (Rs.10/- paid up) - will be invalid from October 28, 2025
- New ISIN: To be informed by separate notice
- Segment: Equity - Dematerialized Securities Rolling Settlement
Regulatory Changes
No regulatory changes. This is a corporate action initiated by the company under existing regulations governing sub-division of shares.
Compliance Requirements
For Trading Members:
- Note the record date of October 28, 2025 for the sub-division
- Ensure trading systems are updated to reflect the new face value and ISIN
- Stop using old ISIN (INE953E01014) for transactions on or after October 28, 2025
- Await and implement the new ISIN number when communicated
For Investors:
- Shareholders on record as of October 28, 2025 will receive ten shares of Re.1/- for every one share of Rs.10/- held
- No action required from shareholders; the sub-division will be processed automatically in demat accounts
Important Dates
- October 9, 2025: Notice date - Circular issued
- October 28, 2025: Record date for sub-division
- October 28, 2025: Effective date - New face value of Re.1/- becomes applicable
- October 28, 2025: Old ISIN (INE953E01014) becomes invalid for exchange transactions
Impact Assessment
Market Impact:
- The sub-division will increase the number of outstanding shares by 10x while reducing the face value proportionally
- Share price will adjust to approximately 1/10th of pre-split price
- Market capitalization remains unchanged
- Improved liquidity expected due to lower price per share making stock more accessible to retail investors
Operational Impact:
- Trading members must update systems to handle new ISIN and face value
- Depository participants need to process the sub-division in shareholder demat accounts
- Temporary disruption possible during ISIN transition period
- All pending corporate actions and open positions need adjustment for the split ratio
Shareholder Impact:
- Shareholders will hold 10x more shares with proportionally lower face value
- No change in ownership percentage or investment value
- Improved tradability due to lower per-share price point
Impact Justification
Stock split increases liquidity and share count but doesn't change market capitalization. Requires ISIN change which impacts trading systems and shareholder records.