Rights Issues 2020

Rights Issue is an invitation to the existing shareholders to purchase the additional shares of the company within a specific period at a discounted price. Unlike IPO, the rights issue is not offered to the general public but only to the existing shareholders in proportion of their existing holdings.

The eligible shareholders can either subscribe for the rights issue partly or fully; or can let the rights lapse by not opting to exercise their rights to purchase the additional shares; or can transfer their rights entitlements to other persons. The transfer of rights to other persons can be done by the trading of rights entitlements on a stock exchange similar to equity shares known as 'renunciation of rights issue'.

The rights issue offers benefits to eligible shareholders as it helps them acquire additional shares at a premium compared to the market price. However, one should study the company's performance before subscribing to the issue as unlike bonus shares, the rights issue comes with a price.

Rights Issues 2020

Company Name Issue Open Issue Close Issue price (Per Share) Issue Size - Shares (Cr) Issue Size - Amount (Cr)
Spencer's Retail LimitedAug 04, 2020Aug 18, 2020751.0610
Satin Creditcare Network LimitedAug 12, 2020Aug 26, 202060210
Minda Industries LimitedAug 25, 2020Sep 08, 20202500.9710
Rushil Decor LimitedSep 21, 2020Oct 05, 2020500.510
Deepak Fertilisers and Petrochemicals Corporation LimitedSep 28, 2020Oct 12, 20201331.3410
EIH LimitedSep 29, 2020Oct 13, 2020655.3810
Mold-Tek Packaging LimitedOct 28, 2020Nov 11, 20201800.0610
Shoppers Stop LimitedNov 27, 2020Dec 11, 20201402.1410
Pricol LimitedDec 03, 2020Dec 17, 2020302.7110


  • The offer to buy a rights issue is an option and not an obligation on the existing shareholder.
  • To be eligible for the rights issue, one must be the shareholder of the company as on record date to qualify as an existing shareholder.
  • An existing shareholder subscribing to the rights issue in full can opt to subscribe for additional shares as well. The allotment for the additional shares would be based on the issue subscription.
  • The rights issue can be partly subscribed and partly transferred to other investors by the trading of the rights entitlements. However, in such cases, there will be no option to opt for additional shares over and above the allocated rights issue for either of the parties.
  • The rights entitlements (RE) are given a different ISIN to differentiate from the normal equity shares trading in the market.
  • The trading of RE closes 2-3 working days before the rights issue.

Learn more about Rights Issue of Shares


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