aktindelning

Aktindelning is a Swedish term that translates to "share split" in English. It refers to a corporate action where a company increases the number of its outstanding shares by dividing existing shares into multiple new shares. For example, in a 2-for-1 stock split, each existing share would be divided into two new shares.

The primary purpose of an aktindelning is to lower the per-share price of a company's stock. This can make the stock more accessible and attractive to a wider range of investors, particularly smaller retail investors who might be deterred by a high share price. A lower share price can also increase the stock's liquidity, meaning it is easier to buy and sell shares without significantly impacting the price.

While an aktindelning does not change the overall market capitalization of the company or the total value of an investor's holdings, it does increase the number of shares owned by each shareholder proportionally. For instance, if an investor owns 100 shares before a 2-for-1 split, they will own 200 shares afterward. The total value of their investment remains the same, but the cost basis per share is halved.

Companies may also undertake a stock split to signal confidence in future growth, suggesting that the current share price has become too high for practical trading. It is a common practice among successful and growing companies.