Shares of Dr Reddy’s Laboratories Ltd. are trading flat after touching a day’s high of Rs 6,938.90 on 24 July, after the company announced a consideration for a stock split on 27 July.

The date set for discussing a stock split proposal by the company’s board of directors is 27 July. Currently, Dr Reddy’s shares possess a nominal value of Rs 5 individually. This is the initial occasion on which the organization will conduct a stock split, being a public company.

The stock split will also include American Depositary Shares (ADRs). The proposal is subject to approval by the company’s shareholders.

Last month, the company’s subsidiary signed an agreement with Haleon plc to acquire global consumer healthcare brands. The acquisition focuses on brands in the Nicotine Replacement Therapy (NRT) category.

The deal excludes brands based in the United States. This agreement was made between Dr Reddy’s Laboratories SA and Haleon plc, along with its associate companies.

The acquisition includes buying shares of Northstar Switzerland SARL, a Haleon group company. Dr Reddy will pay GBP 500 million for the share capital of Northstar Switzerland SARL.

The payment consists of GBP 458 million in cash upfront. An additional GBP 42 million will be paid based on performance by 2025 and 2026.

The firm’s March quarter earnings fell short of estimates; the reported EBITDA margin was 26.4%, below the 28% forecast.

Higher expenses impacted the margin, according to MD & CEO Erez Israeli. Despite this, he believes current margins provide flexibility for the future.

At 11:18 AM, the shares of Dr Reddy’s Lab were trading 0.51% lower at Rs 6,829.50 on BSE.

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