MasterCard Inc. (MA), the country’s second largest payment processing company, announced yesterday, a 10-for-1 stock split and all investors who own company stock on January 9, 2014 will receive nine additional shares for each one they own. The company’s total outstanding shares on the NYSE would increase from 120 million to 1.2 billion and the stock price will readjust to under $80.
The company also announced an 83% increase in its quarterly dividend and a share buyback program worth $3.5 billion. MasterCard stock price jumped 4.8% after-hours trading to reach $800.
The stock split will effectively result in the company’s shares becoming more attractive for retail investors, making them affordable to those looking to buy individual shares in the company.
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