Corporate Actions
Understand different corporate actions like Rights Issues, Bonus Issues, Dividends, and Stock Splits that impact your investments.
A Rights Issue is when a company offers its current shareholders the chance to buy more shares at a discounted price, typically for a limited time. The disc...
Thu, 6 Feb, 2025 at 11:27 AM
You are eligible if you own shares of the company on the specific "record date" set by the company. On this date, the company checks its list of s...
Thu, 6 Feb, 2025 at 11:29 AM
Companies initiate a Rights Issue mainly to raise capital. This funding can be used for various purposes such as expanding the business, acquiring new asset...
Thu, 6 Feb, 2025 at 11:30 AM
The number of shares you can buy under the Rights Issue is based on a ratio set by the company. For example, a 1:15 Rights Issue ratio means you can buy 1 a...
Thu, 6 Feb, 2025 at 11:30 AM
There are two methods to apply for a Rights Issue: Online ASBA (Application Supported by Blocked Amount): Visit the Self-Certified Syndicate Bank (SCSB) ...
Thu, 6 Feb, 2025 at 11:32 AM
Right Entitlement, or RE, is the specific number of shares you have the right to purchase in the Rights Issue. Keep in mind that RE is only valid for a limi...
Thu, 6 Feb, 2025 at 11:37 AM
Regular shares are bought and sold in the open market based on current prices, while RE gives you the right to buy additional shares at a set discount. RE i...
Thu, 6 Feb, 2025 at 11:40 AM
A Rights Issue is the company’s offer to issue new shares, allowing them to raise funds. Rights Entitlement (RE) refers to the rights given to existing shar...
Thu, 6 Feb, 2025 at 11:41 AM
Your RE will be credited to your Demat account in a dematerialized form before the Rights Issue opens, under a unique ISIN (International Securities Identif...
Thu, 6 Feb, 2025 at 11:42 AM
With your Rights Entitlement, you have three options: Use your entitlement to purchase the shares and gain ownership. Sell your RE in the secondary ma...
Thu, 6 Feb, 2025 at 11:44 AM