Mumbai, Dec. 18: The board of NMDC Ltd today announced that it would meet on December 27 to consider a bonus issue and a split in shares.
This is good news not only for the existing shareholders of the iron ore supplier but also for retail investors who could not buy into the NMDC stock.
Like many PSUs, NMDCs stock has soared in the past six months. The scrip hit Rs 16,584 in November against Rs 2,518 in July. Although its value has reduced since then, the stock today ended at Rs 10,316.25, a gain of Rs 491.25, or 5 per cent, over its last close on the back of bonus and stock split news.
Two other PSU stocks that have seen a sharp run-up in their share prices are Minerals and Metals Trading Corporation (MMTC) and State Trading Corporation.
The MMTC share, which ended at Rs 26,746.2 today, climbed to Rs 55,031 in November.
NMDC is involved in the exploration of various minerals, including iron ore, copper, rock phosphate, lime stone, dolomite, gypsum, bentonite, magnesite, diamond and tin.