What Is Right Issue?
Right Issue is a method used by a company to raise additional capital by offering existing shareholders the right to purchase more shares at a discounted price. It allows companies to strengthen their financial base while rewarding loyal investors with favorable terms.
Upcoming Right Issue Of Shares This Month
Here’s a table showcasing the Right Issue Of Shares in October 2024:
| Company Name | Record Date | Issue Open | Renunciation of Rights Entitlements | Issue Close | Issue price (Per Share) | Issue Size (Rs Cr) | CMP of Share | CMP of Rights Entitlement | Rights Issue Ratio |
| Edvenswa Enterprises Limited | Oct 14, 2024 | Oct 25, 2024 | Nov 05, 2024 | Nov 11, 2024 | 60.00 | 27.00 | 69.80 | N/A | 20:41 |
| Arc Finance Ltd | Oct 10, 2024 | Oct 21, 2024 | Nov 12, 2024 | Nov 18, 2024 | 1.20 | 48.48 | 1.99 | 0.46 | 4:5 |
| Geojit Financial Services Ltd | Oct 07, 2024 | Oct 15, 2024 | Oct 17, 2024 | Oct 23, 2024 | 50 | 200 | 155.5 | 89.38 | 01:06 |
| Mittal Life Style Ltd | Oct 03, 2024 | Oct 11, 2024 | Oct 16, 2024 | Oct 21, 2024 | 2 | 29.59 | N/A | N/A | 01:02 |
| Sahana System Ltd | Sep 25, 2024 | Oct 11, 2024 | N/A | Oct 25, 2024 | 890 | 48.87 | N/A | N/A | 01:15 |
| Purple Finance Ltd | Sep 26, 2024 | Oct 04, 2024 | Oct 08, 2024 | Oct 11, 2024 | 40 | 44.82 | 73.11 | 10.75 | 01:03 |
| Tilak Ventures Ltd | Sep 13, 2024 | Oct 03, 2024 | Oct 04, 2024 | Oct 11, 2024 | 2.2 | 49.03 | 4.84 | 0.96 | 01:01 |
| Narmada Agrobase Ltd | Sep 16, 2024 | Sep 30, 2024 | Oct 03, 2024 | Oct 09, 2024 | 15 | 36.58 | 18.45 | 0.75 | 09:05 |
| Rapid Investments Ltd. | Sep 18, 2024 | Sep 26, 2024 | Oct 04, 2024 | Oct 10, 2024 | 100 | 8.4 | 127.25 | 23.17 | 25:39 |
| Srivari Spices And Foods Ltd | Sep 04, 2024 | Sep 24, 2024 | Sep 27, 2024 | Oct 03, 2024 | 175 | 25 | N/A | N/A | 01:05 |
| Advik Capital Ltd | Sep 12, 2024 | Sep 24, 2024 | Oct 01, 2024 | Oct 04, 2024 | 2.5 | 49.95 | 2.9 | 0.14 | 14:30 |
| A B Infrabuild Ltd | May 17, 2024 | Sep 24, 2024 | Sep 27, 2024 | Oct 04, 2024 | 18 | 9.95 | N/A | N/A | 01:08 |
| Synergy Green Industries Ltd | Sep 11, 2024 | Sep 23, 2024 | Sep 30, 2024 | Oct 04, 2024 | 325 | 45.92 | 416.05 | 77.2 | 01:10 |
| Ganesha Ecoverse Ltd | Sep 09, 2024 | Sep 20, 2024 | Sep 24, 2024 | Oct 04, 2024 | 35 | 46.95 | 48.57 | 9.75 | 06:05 |
| Sadhana Nitrochem Ltd | Sep 13, 2024 | Sep 20, 2024 | Sep 25, 2024 | Oct 04, 2024 | 6.06 | 49.91 | 57.1 | 47.08 | 01:03 |
| Patel Integrated Logistics Ltd | Sep 06, 2024 | Sep 19, 2024 | Sep 26, 2024 | Oct 01, 2024 | 18 | 9 | 23.79 | 5.68 | 8:103 |
| Oriental Trimex Ltd | Sep 05, 2024 | Sep 19, 2024 | Sep 27, 2024 | Oct 04, 2024 | 11 | 48.51 | 15.61 | 0.68 | 03:02 |
Introduction Of Upcoming Right Issue :
Edvenswa Enterprises Limited
Edvenswa Enterprises Limited, a holding company, specializes in software development and IT solutions, offering services like UI/UX design, enterprise application engineering, software testing, cloud and DevOps, mobile application development, and extended R&D partnering to support clients throughout their project lifecycle.
Arc Finance Ltd
ARC Finance Limited, founded in 1982, provides loans, hire purchase, and leasing services for industrial and office equipment. The company also trades in agricultural, industrial, and consumer goods, invests in financial instruments, manages real estate, and develops resources for commercial and residential projects.
Geojit Financial Services Ltd
Geojit Financial Services Ltd is a leading financial services company in India, offering a range of services including online stock trading, portfolio management, mutual fund distribution, and financial planning. It operates through a network of offices and branches across the country, helping retail investors with their investment needs.
Mittal Life Style Ltd
Mittal Life Style Limited is engaged in the textile industry, specializing in manufacturing and trading denim fabrics. The company focuses on providing high-quality, innovative denim products catering to both domestic and international markets. Its efficient distribution network supports the company’s mission of delivering superior fabric quality.
Sahana System Ltd
Sahana System Limited is an IT solutions provider, offering customized software development, web-based services, and consulting solutions for businesses. The company caters to industries such as healthcare, retail, and finance, leveraging advanced technologies to develop effective software solutions tailored to meet specific client requirements.
Purple Finance Ltd
Purple Finance Ltd is a non-banking financial company (NBFC) providing a variety of financial services, including personal loans, gold loans, and mortgage financing. The company aims to facilitate financial inclusion by providing quick and easy credit access to underserved segments of society while maintaining strong risk management practices.
Tilak Ventures Ltd
Tilak Ventures Ltd is an investment company primarily focused on providing loans, making investments in securities, and dealing in shares and stocks. The company seeks to identify promising business opportunities, nurture their growth, and maximize shareholder value by strategic capital allocation.
Narmada Agrobase Ltd
Narmada Agrobase Limited is engaged in the production of animal feed and cattle feed products, aiming to provide high-quality and nutritious feed to support the livestock industry. The company’s product range includes cottonseed cakes, de-oiled cakes, and other agro-based products that ensure better productivity and profitability for farmers.
Rapid Investments Ltd.
Rapid Investments Ltd. is a non-banking financial company (NBFC) focused on providing financial services like lending and investment in securities. The company aims to create value for its shareholders by strategically managing investments, promoting new business opportunities, and providing access to financial services.
Srivari Spices And Foods Ltd
Srivari Spices And Foods Limited specializes in the production and distribution of spices, seasonings, and food products. With a commitment to quality and authenticity, the company offers a variety of spices that add traditional flavors to culinary experiences while adhering to stringent food safety standards.
Advik Capital Ltd
Advik Capital Ltd is a non-banking financial company (NBFC) providing financing services such as loans and investment opportunities. The company supports small and medium-sized enterprises (SMEs) and individuals in obtaining financial assistance, focusing on making financing accessible and contributing to their economic growth.
A B Infrabuild Ltd
A B Infrabuild Limited is a construction and infrastructure development company specializing in residential, commercial, and industrial projects. With a focus on quality and timely project delivery, the company aims to meet the growing demand for infrastructure across different sectors while adhering to best industry practices.
Synergy Green Industries Ltd
Synergy Green Industries Ltd is engaged in the manufacturing of large castings for industries such as wind energy, power generation, and heavy engineering. The company specializes in providing high-quality products using advanced casting technologies, thereby supporting sustainable growth in renewable energy and other industrial sectors.
Ganesha Ecoverse Ltd
Ganesha Ecoverse Limited focuses on the production and distribution of eco-friendly products. The company is committed to environmental sustainability by offering solutions that reduce environmental impact, including biodegradable alternatives and recycling initiatives to create a greener and healthier world.
Sadhana Nitrochem Ltd
Sadhana Nitrochem Limited is a chemical manufacturing company, specializing in the production of nitrobenzene and other specialty chemicals. The company serves multiple industries, including agriculture, pharmaceuticals, and dyes, by providing quality chemical products that contribute to their end-use applications and operational efficiency.
Patel Integrated Logistics Ltd
Patel Integrated Logistics Ltd is a logistics and supply chain solutions provider, offering a wide range of services including transportation, warehousing, and freight forwarding. The company is dedicated to ensuring timely and efficient movement of goods, meeting the needs of businesses across various sectors.
Oriental Trimex Ltd
Oriental Trimex Ltd is involved in the processing and distribution of imported marble and other natural stones. The company serves the construction and interior design industries by providing premium-quality stones for residential, commercial, and infrastructure projects, adding elegance and durability to architectural designs.
List Of Upcoming Right Issue Of Shares This Month 2024 – FAQs
In a right issue, existing shareholders receive an offer to buy additional shares at a discounted rate. They are given a specific ratio based on their current holdings and a limited timeframe to subscribe, either fully or partially.
To apply for a rights issue, follow these steps:
Step 1: Log in to your brokerage account where you hold your existing shares.
Step 2: Navigate to the “Corporate Actions” or “Rights Issue” section on the platform.
Step 3: Select the rights issue entitlement for the company offering it.
Step 4: Enter the number of shares you want to apply for under the rights issue.
Step 5: Make the payment for the subscribed shares as specified in the offer.
Step 6: Confirm your application and keep track of the allotment status.
Following are the differences between IPO and Right Issue:
4. IPO (Initial Public Offering)
Rights Issue
Open to the public and new investors
Offered only to existing shareholders
Company issues new shares to raise capital
Company offers additional shares to existing shareholders
Aimed at expanding the shareholder base
Aimed at raising capital while maintaining existing shareholder structure
Shares are priced based on market valuation
Shares are offered at a discounted price
Usually marks a company’s first offering to the public
Issued to raise more funds after the IPO
To calculate the subscription price in a rights issue, follow these steps:
Step 1: Determine the current market price of the stock.
Step 2: Find the discount percentage offered by the company on the rights issue.
Step 3: Multiply the current market price by the discount percentage to find the discount amount.
Step 4: Subtract the discount amount from the current market price to get the subscription price for the rights issue.
The main benefit of a rights issue is that it allows existing shareholders to purchase additional shares at a discounted price, maintaining their ownership percentage and avoiding dilution. It provides an opportunity for investors to invest more in a company they believe in while raising capital for the company’s growth or debt reduction.
Companies issue right shares to raise funds for growth, reduce debt, or finance projects. It helps avoid taking on new loans and allows existing shareholders to participate, ensuring minimal dilution of existing ownership stakes.
