Stocks Market
Sothema Slashes Par Value by 80% in 5-for-1 Split, Eyes Broader Liquidity
<p>Sothema unveiled a bold capital re-structuring plan at an extraordinary shareholder meeting held on 25 March 2026 in Bouskoura. The pharmaceutical group will split each existing MAD-50 share into five MAD-10 shares, instantly multiplying the free-float by five and keeping total equity unchanged at 380.3 million dirhams.</p><p>Management believes the move will narrow bid-ask spreads, attract retail investors and pave the way for a more dynamic secondary market. The board now has carte blanche to set an effective date and complete all regulatory filings.</p>
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Key details of the share split
Sotema's shareholders gave unanimous backing to divide the nominal value of the company's equity by five. Post-split data points include:
- Old par value: 50 MAD
- New par value: 10 MAD
- Shares in issue after split: 38,309,500
- Total share capital (unchanged): 380.3 million MAD
Every investor will receive five new shares for each old share held. The capital remains fully paid-up.
Why Sothema is splitting
By lowering the price per share, the management hopes to:
- Improve liquidity and depth on the Casablanca Stock Exchange
- Appeal to retail and algorithmic traders who shy away from higher-priced names
- Position the stock for potential inclusion in benchmark indices that apply liquidity filters
CEO Abdelaziz Abjaoui has been granted full powers to pick a record date and coordinate with Morocco's central securities depository (Maroclear).
Market context
The announcement comes on the heels of a 22% jump in 2025 net profit and a 15% rise in top-line revenue, signalling management's confidence that fundamentals can support a broader shareholder base. Analysts view the split as cosmetic but sentiment-positive, especially if daily turnover rises and borrowing costs for equity-based financing decline.