Eraaya Lifespaces Announces Major Stock Split: Price to Fall by 90%

Eraaya Lifespaces to implement 1:10 Stock Split, price to drop from Rs 2000 to Rs 200, become 10 times cheaper by Dec 6

Eraaya Lifespaces, a lifestyle and hospitality company, plans to split its shares in a 1:10 ratio, by rendering its costly stock cheaper and more accessible to the investor. At present, the stock of the company is available at Rs 2000. After the split by the company, the share will come down to around Rs 200, thereby providing a huge opportunity to new as well as old investors.

The stock split will result in all the shares with a face value of Rs 10 being divided into 10 shares of Rs 1 face value each. It would enhance the market liquidity and bring the share price down. The company has selected December 6, 2024, as the record date for such an important corporate action. Issuance of new shares following this event would carry a different ISIN.

Eraaya Lifespaces Shares Rise Before Stock Split

Shares of Eraaya Lifespaces have witnessed a remarkable run in 2024, achieving unprecedented returns over various timeframes. The company has now announced a 1:10 stock split, effective December 2, 2024, under ISIN code INE432F01032. This adjustment aims to enhance market liquidity and attract a broader investor base. However, the price adjustment will indeed occur as it occurs based on the stocks' price on the previous day of the record date.

For the investors who had followed the performance of Eraaya Lifespaces, the stock split occurred after the good performance had been realized. Already, the shares of the company have delivered tremendous returns. In the last three months, the stock has increased by over 100%. The company was also a multi-bagger since it had given a return of 175% in six months. In the last six months of 2024, the stock had gained a tremendous 1,615%. Over a longer term, the returns are even more astonishing, with a 24,193% gain over two years and 26,582% over three years.

Eraaya Lifespaces Gains Ahead of Stock Split

The positive business outlook of Eraaya Lifespaces does not end there with the stock split. The foreign exchange division of the company, including its subsidiary EbixCash, has shown decent growth. EbixCash in Q2 of FY 2024-25 achieved a revenue of about Rs 198 crore with a good performance in the foreign exchange market.

Investors will also keep a close eye on the stock split since Eraaya Lifespaces has a market capitalization of Rs 3,771.29 crore as of December 2, 2024. The company continues to expand its footprint and strengthen its market presence through more such initiatives.

It is about the record date when most of the investors would eagerly await this change. New shares under ISIN code INE432F01032 would be issued from this day, which marked the beginning of the stock split. It will make the sale of the stocks easier and improve market liquidity for investors.