Honey Bun Limited has advised that at a meeting held on April 19, 2016, the board decided on a five-way stock split, with each ordinary share of the company to be subdivided into five shares.

The company is now planning to hold an extraordinary general meeting in May to seek shareholders’ approval for the subdivision of shares.

A five-way split will result in the authorised share capital of the company increasing from 97,500,000 shares to 487,500,000 shares, and the issued and fully paid capital of the company increasing from 94,253,390 shares to 471,266,950 shares.

Earlier this month, Honey Bun CEO Michelle Chong said the subdivision is intended to improve trading activity for the company, listed on the Junior Market of the Jamaica Stock Exchange under the symbol HONBUN.

“The purpose of the subdivision is to have more shares available for trading so as to improve liquidity,” she told the

Jamaica Observer.

Honey Bun has a current market value of about $1.4 billion.

The share price opened at $14.93 on April 25. The stock has improved in value by 142.76 per cent year to date.