The NDB Bank is joining the bandwagon of firms who are opting to boost liquidity by sub dividing their shares.
The Bank announced on Friday that the Board of Directors resolved to propose to shareholders subdivide its shares on the basis of one into two. The move subject to shareholder approval will increase NDB Bank’s number of shares in issue from 82.1 million to 164.2 million.
The market capitalisation of NDB Bank last week was Rs. 29.8 billion making it the 19th most valuable stock in the Colombo Bourse.
Its share price gained by Rs. 9.50 (Rs. 5 of which on Friday) to close at Rs. 363 with just 312,700 shares traded. Its 52-week highest was Rs. 415.
Aviva NDB share gains by Rs. 13.60
Aviva NDB Insurance gained by Rs. 12.60 on Friday and by Rs. 13.60 overall last week to close at Rs. 313.60. The gain was following Aviva NDB announcing a first and final dividend of Rs. 9 per share for 2010 financial year. Its results for 2010 are pending.