Chipotle Mexican Grill, Inc. (CMG) has announced that its Board has greenlit a 50-for-one division of its common shares. However, the action is contingent upon the shareowners endorsing a change to the company's Certificate of Incorporation. The modification is intended to increase the total number of authorized common shares to facilitate the proposed split. Furthermore, Chipotle has unveiled a special one-off equity gift provisions for all restaurant general managers and long-serving crew members who have been with the company for over two decades.
In expressing his thoughts on the development, Chipotle's Chief Financial and Administrative Officer, Jack Hartung stated, "The decision to execute a split is timed perfectly considering our shares have reached a record high. This accomplishment is a result of all-time high revenues, profits, and growth that the company has recently seen."
