Exxaro Tiles Announces 10:1 Stock Split to Enhance Liquidity and Accessibility

Exxaro Tiles Ltd, a prominent player in the refractory ceramic industry, has announced its first-ever stock split to enhance share liquidity and attract more small investors. Approved by the company’s Board of Directors on October 14, 2024, this strategic move aims to make its shares more accessible and appealing in the market.

Stock Split Details

The company plans to subdivide its existing equity shares from a face value of ?10 to ?1 each. This 10:1 split is subject to shareholder approval, with the record date set for Friday, December 13, 2024. Once implemented, the increased number of shares in circulation is expected to boost trading activity and improve liquidity.

In a noteworthy development, BofA Securities Europe SA recently acquired 6,66,366 shares of Exxaro Tiles at ?96.22 per share, amounting to ?6.41 crore. This purchase represents 1.48% of the company’s outstanding equity, reflecting strong institutional interest in its future prospects.

About Exxaro Tiles Ltd

Founded in 2008, Exxaro Tiles Ltd is renowned for manufacturing and marketing a wide array of high-quality vitrified tiles. Its product portfolio includes:

• Double-charge vitrified tiles
• Glazed vitrified tiles
• Full-body vitrified tiles
• Wall tiles
• Parking tiles

Exxaro Tiles caters to large-scale projects such as educational institutions, hotels, retail malls, and hospitals. Known for innovation, the company incorporates advanced features like 3D effects, FGVT technology, high-gloss finishes, and full-color body vitrified tiles. It boasts a strong clientele, including industry leaders such as Lodha, Amul, and Shapoorji Pallonji, solidifying its position as a trusted name in the industry.

Financial Performance

Despite its growth potential, Exxaro Tiles faces some financial challenges:

• In Q1FY25, the company reported a total income of ?60.04 crore but incurred a net loss of ?4.27 crore.
• As of March 2024, its total debt stood at ?97.45 crore, indicating a need for financial improvement.

However, with a market cap exceeding ?400 crore and a strategic focus on enhancing shareholder value through the stock split, Exxaro Tiles is poised for a potential turnaround.

Article originally published at: https://www.findoc.com/blog/exxaro-tiles-announces-stock-split

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