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Avro India Approves Stock Split, Slashes Share Face Value to ₹1
Avro India's share face value will be reduced from ₹10 to ₹1, following shareholder approval at an Extraordinary General Meeting (EGM) attended by 32 members.
Shareholder Approval for Stock Split
Avro India Limited held an Extraordinary General Meeting (EGM) on April 18, 2026. Shareholders overwhelmingly approved a significant stock split, reducing the face value of each equity share from ₹10 to ₹1. During the meeting, held via video conference, key resolutions were passed to adopt new Articles of Association (AoA) and amend the Memorandum of Association (MoA) to reflect the share sub-division. The EGM was attended by 32 members and took place between 1:00 p.m. and 1:28 p.m. IST. Remote e-voting concluded on April 17, 2026, after opening on April 15.
Boosting Share Accessibility and Liquidity
The primary goal of the stock split is to make Avro India's shares more affordable and accessible to a wider range of retail investors. This move is expected to boost market liquidity and potentially increase trading volumes. The updates to the AoA and MoA ensure the company's governance documents meet current statutory requirements following the share sub-division.
Company History and Previous Actions
Avro India Limited, a manufacturer of plastic molded furniture and granules, previously operated with a share face value of ₹10. The company's board had considered this stock split on March 25, 2026, indicating a planned corporate action. Avro India has a history of corporate actions, including a ₹4.50 Crore public issue in July 2018 and a bonus issue in January 2022.
Impact of the Stock Split
Following shareholder approval, the face value of each Avro India equity share will change from ₹10 to ₹1. This effectively increases the number of outstanding shares by ten times. The split is intended to improve affordability and trading liquidity. Updated Articles of Association and Memorandum of Association are now in effect, ensuring regulatory compliance. Importantly, the stock split itself does not change the company's overall market capitalization.
Considerations for Investors
While a stock split can enhance accessibility and potentially boost trading activity, it does not alter the company's underlying fundamental value. The long-term performance of Avro India will ultimately depend on its business operations and financial results.
Comparison with Industry Peers
Avro India operates in segments with competitors like Orient Electric Ltd. and Havells India Ltd. Both Orient Electric and Havells India currently trade with a share face value of ₹1. Avro India's decision to reduce its face value to ₹1 brings it in line with these industry peers.
Next Steps and Monitoring
Investors will be looking for the official announcement of the voting results and the Scrutinizer's report, expected within two working days of the EGM. The company will also need to inform the stock exchanges (NSE and BSE) and publish the results on its website. Future corporate filings related to the share sub-division's execution and the market's reaction, including any changes in trading volumes, will be closely monitored.