iTANZ Technologies Limited has approved a proposal for a 10-for-1 split of its ordinary shares, reducing the face value of each share from Rs10 to Re1. The Pakistan Stock Exchange listed technology company said the proposal is aimed at improving trading liquidity and making its shares more accessible to retail and first-time investors. The board approved the proposal in principle at a meeting held on August 24, with the transaction still subject to approval by shareholders and completion of the required regulatory procedures. Under the proposed arrangement, every existing ordinary share with a face value of Rs10 will be divided into 10 shares with a face value of Re1 each. The company said the change will not affect its paid-up capital, net assets, earnings or the proportionate ownership of existing shareholders. The proposal will therefore increase the number of shares in circulation while reducing their face value, without changing the underlying value of shareholders’ ownership.
Following the proposed split, iTANZ issued shares will increase from approximately 118.6 million to 1.186 billion shares, while its paid-up capital will remain unchanged at Rs1.186 billion. The company explained that a stock split simply represents the same paid-up capital through a larger number of shares with a lower face value. It will not require any cash outlay from the company and will not result in dilution for existing shareholders. iTANZ said the main objective is to improve market liquidity by lowering the price of each individual share, potentially making it easier for investors to buy and sell the stock. A lower per-share price can also make shares more accessible to retail investors and first-time market participants. The company said increased share availability and a lower individual share price can contribute to higher trading volumes and narrower bid-ask spreads, although actual market activity will continue to depend on investor demand and broader market conditions.
The proposed stock split will now be presented to shareholders as a special resolution at the company Annual General Meeting, which is tentatively scheduled for September 30, 2026. The resolution will require at least 75% of votes cast for approval. Until shareholder approval and the relevant regulatory requirements are completed, the proposed split will not become effective. iTANZ shares closed at Rs45.41 on August 21, which would translate into an illustrative post-split price of approximately Rs4.54 per share if the split were implemented at that price. The company market capitalisation was approximately Rs5.39 billion at the time, and the stock split itself would not change that value immediately because the increase in the number of shares would correspond with the reduction in their individual value. Actual market prices after implementation would, however, continue to move according to supply, demand and other market factors.
iTANZ Technologies was incorporated in Pakistan in 1990 and was previously known as Zahur Cotton Mills Limited. Following the merger of Zahur Cotton Mills Limited with ITANZ Technology Private Limited, the company completed its transition to the iTANZ Technologies name. Its current business activities include software development, installation and implementation, IT-related supplies and services, as well as information technology consultancy. The company has also expanded its international operations, including contracts with an Australian utility company and a wholly owned entity in Saudi Arabia. The proposed stock split comes as iTANZ continues to operate as a technology-focused company listed on PSX. If approved by shareholders and completed through the required regulatory process, the 10-for-1 split will substantially increase the number of shares while reducing the face value of each share, with the company expecting the structure to support greater trading activity and accessibility among investors.
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