Service Industries Approves 10-for-1 Stock Split

Service Industries Limited (SIL) has approved a 10-for-1 stock split as part of an effort to reduce the face value of its ordinary shares and potentially improve trading liquidity on the Pakistan Stock Exchange (PSX).

According to a notice submitted to the PSX, the company’s Board of Directors has approved the subdivision of the face value of its ordinary shares from Rs. 10 per share to Rs. 1 per share. Under the proposal, shareholders will receive 10 ordinary shares for every one existing ordinary share they hold, in accordance with Section 85(1)(c) of the Companies Act, 2017.

The board has also approved amendments to the company’s Memorandum and Articles of Association to reflect the proposed subdivision.

These changes will be placed before shareholders for approval at an Extraordinary General Meeting (EOGM) scheduled for August 4, 2026, at Shalimar Tower Hotel, adjacent to Servis House, Gulberg, Lahore.

The share transfer books will remain closed from July 29 to August 4, 2026 (both days inclusive). Transfers received by the company’s share registrar by the close of business on July 28 will be eligible for voting at the EOGM.

A stock split increases the number of outstanding shares while proportionately reducing the face value of each share, leaving the company’s overall paid-up capital and shareholders’ ownership unchanged. Such corporate actions are often undertaken to improve affordability for retail investors and enhance liquidity in the secondary market.