Qatar Stock Exchange Executes Split of Shares as Index Rises to Close at 207.77 Points

Doha, June 10 (QNA) - The Qatar Stock Exchange (QSE) began today the execution of the split of shares as its index gained 207.77 points (+2.02 percent) Monday after it lost 23.55 points (-0.23 percent) yesterday. The QSE executed the stock split of Commercial Bank (CB) and Qatar First Bank (QFB) on Sunday at the end of the trading session, and the two banks took effect today. It also implemented today the stock split of Al Khalij Commercial Bank (KCBK), Dlala Brokerage and Investment Holding Company (DBIS), and Qatar Oman Investment Company (QOIS), effective tomorrow, Tuesday, 11 June 2019. The shares split results of KCBK are 3,600,000,000 shares and the adjusted closing price will be 1.17 (Price limit up: 1.28, Price limit down: 1.06). The shares split results of DBIS are 284,160,000 shares and the adjusted closing price will be 0.937(Price limit up: 1.03, Price limit down: 0.844), while that of QOIS are 315,000,000 shares, and the adjusted closing price will be 0.58 (Price limit up: 0.638, Price limit down: 0.522). The aim of the stocks split carried by Qatar Exchange is to make share prices look more affordable to retail/individual investors even though the total market value of the company and the investor's portfolio have not changed; expand the ownership base of listed companies as a result of the entry of new investors, who prefer to trade low-priced stocks and increase the number of shares available for trading. The Qatar Exchange has carried out the necessary tests on its systems to keep up with the process of splitting the nominal value of the share (from QR10 to QR 1), in full coordination with Qatar Financial Markets Authority, Qatar Central Depository. The new nominal value and the adjusted market value of the share will be dealt with on the next working day following the implementation of the share split. QSE said that there will not be any effect on the ownerships, adding that the stock split will increase the investor's number of shares by 10 times with the total value of these shares remain unchanged. A stock split is used mainly when share prices increase substantially and while the number of outstanding shares increases and price per share decreases, the companies' market capitalization (and the value of the investors' portfolios) do not change. As a result, stock splits help make shares more affordable to retail and individual investors and provides higher liquidity in the stock market. (QNA)