Rights issue gives an existing investor the right to increase shareholding in the company.
Reliance Industries rights
issue which closed on Wednesday saw huge demand for Reliance Industries shares
as the issue was subscribed 1.59 times. Reliance Industries' ₹53,124.20 crore
rights issue was India's biggest rights issue cumulating to an overall
commitment of over ₹84,000 crore, Reliance Industries said in a press release.
The public portion of the rights issue was subscribed 1.22 times.
Rights
issue gives an existing investor the rights to increase shareholding in the
company. The allotment of equity shares will happen on or about 10th June 2020.
The
rights shares are expected to be listed on the BSE and NSE on or around 12th
June 2020 under separate ISIN, Reliance Industries said.
The
Rights Entitlement (RE) was actively traded reflecting broad-based interest in
the rights issue. This is the first instance of RE's being traded in demat form
on the stock exchanges since SEBI introduced this platform and it was a
resounding success, Reliance Industries added.
"I express my sincere
thanks to our dear and esteemed shareholders for participating in this Rights
Issue and making it a new and proud landmark in the history of India's capital
market," Mukesh Ambani, Chairman and Managing Director of Reliance
Industries Limited said.
"The
success of RIL's Rights Issue, seen in the context of the prolonged nationwide
lockdown necessitated by the COVID-19 pandemic, is also a vote of confidence,
by both domestic investors, foreign investors and small retail shareholders, in
the intrinsic strength of the Indian economy. I have no doubt that the Indian
economy will bounce back to follow a high-growth trajectory in the time to
come, and make India a leading Digital Nation in the World," Mr Ambani
added.
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