Description
BSE announces trading in Rights Entitlements (REs) for Davangere Sugar Company Limited from August 14-25, 2025.
Summary
BSE announces the commencement of trading in Rights Entitlements (REs) for renunciation of Davangere Sugar Company Limited. The REs will be tradable from August 14, 2025 to August 25, 2025, with the Rights Issue opening from August 14 to August 29, 2025.
Key Points
- Rights Entitlements trading period: August 14-25, 2025
- Rights Issue period: August 14-29, 2025
- Scrip Code: 751024, Scrip ID: DAVAN-RE1
- ISIN: INE179G20029, Market Lot: 1, Group: R
- Settlement on T+1 Rolling Settlement basis
- Trade-for-trade settlement basis
- REs tradable in dematerialized form only
Regulatory Changes
No new regulatory changes introduced. Existing framework for Rights Entitlements trading applies as per previous notices dated March 5, 2020 and May 18, 2020.
Compliance Requirements
- Trading members must inform clients about RE trading commencement
- Contract notes must include prominent disclaimer about RE purchases
- Clients must be informed that REs give right to participate in Rights Issue or renounce before issue closes
- Warning that unsubscribed/unrenounced REs will lapse after Issue Closing Date
Important Dates
- August 14, 2025: RE trading and Rights Issue opens
- August 25, 2025: RE trading closes
- August 29, 2025: Rights Issue closes
- Settlement: T+1 basis for all RE trades
Impact Assessment
Medium impact limited to Davangere Sugar Company shareholders. Provides liquidity option for rights holders who wish to monetize their entitlements without participating in the rights issue. Trading members need to ensure proper client communication and documentation compliance.
Impact Justification
Medium impact as it affects specific company shareholders with rights entitlements trading opportunity