Sun Microsystems Inc. (Nasdaq: SUNW) rose 2 15/16 to 122 3/8 Friday after announcing a two-for-one stock split. The company hit a 52-week high of 123 3/4 during the day’s trading.
The split, to come in the form of a stock dividend, won the approval of the board of directors on Wednesday.
The split proposal will be submitted for stockholder approval during the annual stockholders meeting on November 8th. If approved, the split will take effect on November 9th. The change would increase the company’s number of outstanding shares from 1.6 billion to about 3.2 billion, bringing the total authorized shares of common stock to 7.2 billion.
Sun provides computer servers, work stations, software and services for e-commerce. The Palo Alto, California-based company has annual revenues of $15.7 billion.