Description

Suraj Industries Limited announces rights issue of 21 equity shares for every 13 shares held at Rs.40 per share. Ex-rights trading begins October 13, 2025.

Summary

Suraj Industries Limited (Scrip Code: 526211) has announced a rights issue of equity shares with a record date of October 13, 2025. Eligible shareholders will be offered 21 new equity shares of Rs.10/- each for every 13 equity shares held. The shares are being issued at a premium of Rs.30/- per share, making the total issue price Rs.40/- per share. Trading in the company’s equity shares will commence on an ex-rights basis from October 13, 2025.

Key Points

  • Rights ratio: 21 new equity shares for every 13 existing equity shares held
  • Face value: Rs.10/- per equity share
  • Premium: Rs.30/- per share
  • Total issue price: Rs.40/- per equity share
  • Scrip Code: 526211
  • Record date: October 13, 2025
  • Ex-rights date: October 13, 2025
  • Settlement number: DR-734/2025-2026
  • Payment structure: Rs.10/- on application and Rs.30/- on one or more subsequent calls

Regulatory Changes

No regulatory changes are introduced by this circular. This is a standard corporate action notification.

Compliance Requirements

  • Trading members must execute all transactions in Suraj Industries Limited equity shares on an ex-rights basis with effect from October 13, 2025
  • Trading members are required to take note of the record date and ensure proper settlement procedures
  • Shareholders holding shares as of the record date (October 13, 2025) will be eligible to participate in the rights issue

Important Dates

  • October 8, 2025: Circular notification date
  • October 13, 2025: Record date for rights issue eligibility
  • October 13, 2025: Ex-rights trading begins (Settlement DR-734/2025-2026)

Impact Assessment

Market Impact: Medium. The rights issue represents a significant capital raising exercise with a rights ratio of 21:13, which could lead to substantial dilution for non-participating shareholders. The ex-rights trading mechanism ensures proper price adjustment.

Shareholder Impact: Existing shareholders must decide whether to participate in the rights issue or allow their rights to lapse. The staggered payment structure (application money plus subsequent calls) provides flexibility but requires monitoring of call payment schedules.

Liquidity Impact: The stock will trade ex-rights from October 13, 2025, which typically results in a price adjustment reflecting the dilutive effect of the rights issue. Trading volumes may increase around the record date as investors position themselves.

Impact Justification

Standard rights issue notification affecting existing shareholders of Suraj Industries Limited. Medium impact as it provides dilution opportunity and requires shareholder action for participation.