New Delhi: Defence public sector undertaking BEML Ltd has announced its first-ever stock split, wherein each equity share of face value Rs 10 will be subdivided into two shares of Rs 5 face value each. This move is aimed at enhancing liquidity and encouraging wider participation from retail investors.
Board Meeting Fixes Record Date for Share Split
In a board meeting held on September 29, 2025, BEML Ltd officially fixed the record date as November 3, 2025. Shareholders who hold shares as of this date will be eligible for the share subdivision. Post record date, the existing shares will be split according to the announced ratio.
Stock Split Details and Background
The stock split will follow a 1:2 ratio, meaning each existing share with a face value of Rs 10 will be split into two shares, each with a face value of Rs 5. The company had initially announced this stock split plan in July 2025, marking a significant step in its efforts to improve stock market accessibility for smaller investors.
Market Reaction and Current Stock Performance
Despite the positive move aimed at enhancing liquidity, shares of BEML Ltd experienced a decline of 3.10% in Monday’s trading session, closing at Rs 4,077 on the BSE. Currently, BEML’s market capitalization stands at approximately ₹16,930 crore. The company maintains a price-to-earnings (P/E) ratio of 56.33 and a dividend yield of 0.52%, indicating investor confidence and stable dividend payouts.
Impact of the Share Split
Stock splits generally make shares more affordable to retail investors by reducing the per-share price, potentially increasing trading volumes and market participation. For BEML, a key defence PSU with diversified business operations, this move is expected to attract more retail investors, boosting liquidity and marketability of its shares.
About BEML Ltd
BEML Limited is a leading Indian public sector company specializing in manufacturing heavy equipment, including those for the defence, mining, and rail sectors. It plays a crucial role in India’s defence and infrastructure ecosystem.