Description

BSE notifies trading members that Rights Entitlements (REs) for renunciation of Padam Cotton Yarns Limited will be permitted on the Exchange from March 02, 2026 to March 04, 2026, with the Rights Issue open from March 02 to March 09, 2026.

Summary

BSE has notified trading members that Rights Entitlements (REs) for renunciation of Padam Cotton Yarns Limited (Scrip Code: 751092, Scrip ID: PADAM-RE) will be permitted for trading on the Exchange from Monday, March 02, 2026 to Wednesday, March 04, 2026. The associated Rights Issue will be open from March 02, 2026 to March 09, 2026. Settlement will be on a T+1 Rolling basis (trade-for-trade), and REs will be tradable in dematerialized form only.

Key Points

  • Rights Entitlements (REs) for Padam Cotton Yarns Limited are admitted for trading on BSE effective March 02, 2026
  • Scrip Code: 751092 | Scrip ID: PADAM-RE | ISIN: INE448D20017
  • Market Lot: 1 | Group: R
  • Trading in REs (renunciation window): March 02, 2026 – March 04, 2026
  • Rights Issue open period: March 02, 2026 – March 09, 2026
  • Settlement: T+1 Rolling Settlement on trade-for-trade basis
  • REs are tradable in dematerialized form only
  • REs not subscribed or renounced by Issue Closing Date will lapse and be extinguished

Regulatory Changes

No new regulatory changes introduced. This circular operates under the framework established by earlier notices:

  • Notice No. 20200305-21 dated March 05, 2020
  • Notice No. 20200518-34 dated May 18, 2020

Compliance Requirements

  • Trading members must inform all clients about the commencement of trading in REs, citing ISIN INE448D20017
  • Members must clarify that REs should not be mistaken for ordinary equity shares of Padam Cotton Yarns Limited
  • A prominent disclaimer must be included in contract notes/bills for RE purchases, stating that purchasing REs only grants the right to participate in the Rights Issue or renounce the REs before the issue closes
  • Members must ensure RE trades are settled on a trade-for-trade basis under T+1 Rolling Settlement

Important Dates

EventDate
Circular DateFebruary 27, 2026
Commencement of RE Trading (Renunciation)March 02, 2026
Last Day of RE Trading (Renunciation)March 04, 2026
Rights Issue Open DateMarch 02, 2026
Rights Issue Close DateMarch 09, 2026
Lapse of unsubscribed/unrenounced REsAfter March 09, 2026

Impact Assessment

This circular has a moderate and company-specific impact. Existing shareholders of Padam Cotton Yarns Limited who received Rights Entitlements have a short three-day window (March 02–04, 2026) to renounce their REs on the exchange. Trading members need to ensure client communications and contract note disclaimers are in place before March 02. REs that are neither exercised nor renounced will lapse after the Rights Issue closing date (March 09, 2026), resulting in loss of value for holders. The trade-for-trade settlement mechanism limits speculative activity in these instruments.

Impact Justification

Routine rights entitlement trading notice for a specific company (Padam Cotton Yarns Limited); impacts trading members and shareholders of PADAM-RE but has limited broader market significance.