Canara Bank board green lights splitting each share into five

The Board of Directors of Canara Bank on Monday approved the splitting of each share into five. The bank said that the step was taken "to improve the liquidity of the bank’s shares, make it affordable for retail investors and also to broaden the retail investors’ base."

The expected time for completion of the stock split is 2-3 months. However, the split is subject to the approval of the Reserve Bank of India.

The current face value of each share is ₹10 which will become ₹2 each post the split.

The Indian government owns close to 63% stake in Canara Bank, while the rest is owned by shareholders.

The shares of Canara Bank Ltd were trading at ₹571.90 apiece, down 1.47% as on February 26, 2024.