Board Approves 1:5 Stock Split (Rs. 5 to Rs. 2 Face Value) and MOA Capital Clause Change, Subject to Shareholder Nod
Board has approved a sub-division of equity shares: each Rs. 5 share becomes 5 shares of Rs. 2 each.
By ScoutQuest · · 2 min read
- Share Split Ratio
- Each Rs. 5 share becomes 5 shares of Rs. 2 each
- Shares Outstanding Before
- 5,15,28,678
- Shares Outstanding After
- 12,88,21,695
- Total Paid-up Capital
- Rs. 25,76,43,390
- Authorised Capital (post-MOA change)
- Rs. 50,00,00,000
What the Board approved
At a meeting held on Friday, September 25, 2026 (11:00 A.M. to 11:20 A.M.), the Board of Varvee Global Limited (formerly Aarvee Denims and Exports Ltd) approved a sub-division/split of equity shares and a consequential change to the capital clause of the Memorandum of Association.
- Each existing equity share of face value Rs. 5/- will be sub-divided into 5 equity shares of face value Rs. 2/- each, fully paid up.
- Approval of shareholders and other statutory or regulatory authorities is required.
- The record date for the split will be intimated to the stock exchanges in due course.
Capital before and after
- Authorised share capital: 7,00,00,000 shares of Rs. 5 becomes 17,50,00,000 shares of Rs. 2; total stays Rs. 35,00,00,000.
- Issued and subscribed capital: 5,15,28,678 shares of Rs. 5 becomes 12,88,21,695 shares of Rs. 2; total stays Rs. 25,76,43,390.
- Paid-up capital: same as issued, Rs. 25,76,43,390 before and after.
A split changes only the number of shares and the face value per share. The total capital and each holder's proportionate ownership do not change.
MOA capital clause
Clause V of the Memorandum will be amended to read that the Authorised Share Capital is Rs. 50,00,00,000 divided into 17,50,00,000 equity shares of Rs. 2 each and 1,50,00,000 Cumulative Redeemable Non-Convertible Preference Shares of Rs. 10 each.
Approval process
- The Board approved the Notice of Postal Ballot to seek members' approval; the notice will be shared in due course.
- Mr. Tapan Shah, Practicing Company Secretary, was appointed Scrutinizer for the voting and remote e-voting through postal ballot.
Stated rationale
The company states the split is intended to improve liquidity of its equity shares in the stock market and to make them more affordable to small retail investors. The shares are of one class only and rank pari-passu. Completion is expected within the timelines prescribed under the Companies Act, 2013 and the Listing Regulations.
What to watch
- Outcome of the postal ballot.
- The record date announcement, which determines which holders receive the sub-divided shares.
Also from Varvee Global
Varvee Global Ltd press release, Q2 FY27
23 Oct 2026
Q2/H1 FY27 results approved; auditor review unmodified, with emphasis on MAT credit and rent income
22 Oct 2026
Board meet on 22 October 2026 to consider Un-Audited results for quarter, half year ended 30 September 2026
16 Oct 2026
More numbers
- Existing face value per shareRs. 5/-
- New face value per shareRs. 2 /-
- Split ratio (shares per existing share)5 (five) equity shares
- Authorised shares pre-split7,00,00,000
- Authorised shares post-split17,50,00,000
- Authorised equity capital total35,00,00,000
- Issued/paid-up shares pre-split5,15,28,678
- Issued/paid-up shares post-split12,88,21,695
- Paid-up share capital25,76,43,390
- Authorised share capital in amended Clause VRs. 50,00,00,000/-
- Preference shares in Clause V1,50,00,000
- Preference share face valueRs. 10/-
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