India Glycols Limited (IGL) has announced a significant corporate action that will impact its shareholders. The company has set August 12, 2025, as the record date for a 2-for-1 stock split of its equity shares. This decision comes after receiving approval from the company's members through a postal ballot on July 22, 2025.

Stock Split Details

The stock split will involve subdividing each existing equity share with a face value of ₹10.00 into two shares with a face value of ₹5.00 each. This move is expected to increase the liquidity of the company's shares in the stock market and make them more accessible to a broader range of investors.

Shareholder Eligibility

Shareholders who own India Glycols shares as of the record date (August 12, 2025) will be entitled to receive the additional shares resulting from this 1:2 split ratio. It's important to note that this corporate action does not change the overall value of a shareholder's holding, but it does increase the number of shares they own.

Regulatory Compliance

In compliance with regulatory requirements, India Glycols has informed the stock exchanges about this corporate action. The company filed the necessary intimation under Regulation 42 of the Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015.

Company's Communication

The official communication to the stock exchanges was signed by the company's Head (Legal) & Company Secretary. The letter states that the new shares resulting from the split will rank pari-passu with each other in all respects, ensuring equal rights for all shareholders.

Investor Considerations

While a stock split doesn't directly impact a company's market capitalization, it often generates increased interest from retail investors due to the lower per-share price. Existing and potential investors of India Glycols should take note of this upcoming change in the company's share structure.

The implementation of this stock split reflects India Glycols' confidence in its future prospects and its commitment to enhancing shareholder value. As always, investors are advised to conduct their own research and consult with financial advisors before making investment decisions based on corporate actions such as stock splits.

India Glycols Limited (IGL) has disclosed that the Commissioner of CGST & Central Excise, Uttarakhand has filed an appeal in the Uttarakhand High Court at Nainital, challenging a previous favorable ruling for the company. This development puts a spotlight on a long-standing dispute over excise duty classification.

The Dispute

The appeal contests an order passed by the Customs, Excise & Service Tax Appellate Tribunal (CESTAT) in New Delhi, which had earlier set aside a ₹10.39 crore central excise duty demand along with interest and penalty. The core of the dispute revolves around the classification of 'RAB' under the Central Excise Tariff for the financial years 2005 to 2009.

Company's Stance

India Glycols maintains that the demand is not sustainable, given that CESTAT has already ruled in the company's favor on this matter. The company learned about the appeal through its consultant after the case appeared on the court's website, although it has not yet received a formal notice from the Uttarakhand High Court.

Financial Implications

The potential financial impact of this case includes:

However, India Glycols remains confident in its position, stating that after discussions with experts, they believe the demand is not maintainable.

Regulatory Compliance

In compliance with Regulation 30 of the Securities and Exchange Board of India (SEBI) Listing Obligations and Disclosure Requirements Regulations, 2015, India Glycols has promptly disclosed this development to the stock exchanges. The company's Head (Legal) & Company Secretary, Ankur Jain, signed the regulatory filing.

Market Impact

While the outcome of this appeal remains uncertain, it represents a significant legal challenge for India Glycols. Investors and market analysts will likely monitor the proceedings closely, as the resolution of this case could have material implications for the company's financial position.

As the legal process unfolds, India Glycols Limited continues to assert its stance based on the previous favorable CESTAT ruling. The company's management appears prepared to defend its position in the Uttarakhand High Court, emphasizing their belief in the untenability of the excise duty demand.