Description

BSE permits trading in Rights Entitlements (REs) for renunciation of Padam Cotton Yarns Limited from March 2 to March 4, 2026, with the Rights Issue open from March 2 to March 9, 2026.

Summary

BSE has notified trading members that dealings in Rights Entitlements (REs) for renunciation of Padam Cotton Yarns Limited (Scrip Code: 751092, ISIN: INE448D20017) will be permitted on the Exchange from Monday, March 2, 2026. The RE scrip trades under Scrip ID PADAM-RE in Group R.

Key Points

  • Rights Entitlements (REs) trading for renunciation permitted from March 2, 2026
  • RE trading window: March 2, 2026 to March 4, 2026
  • Rights Issue subscription period: March 2, 2026 to March 9, 2026
  • Scrip Code: 751092 | Scrip ID: PADAM-RE | ISIN: INE448D20017
  • Market Lot: 1 | Group: R
  • Settlement on T+1 Rolling Settlement basis, trade-for-trade
  • REs tradable in dematerialized form only
  • REs neither subscribed nor renounced before Issue Closing Date will lapse and be extinguished

Regulatory Changes

No new regulatory changes introduced. This notice is issued under the existing framework for Rights Entitlements trading as established by BSE notices 20200305-21 (March 5, 2020) and 20200518-34 (May 18, 2020).

Compliance Requirements

  • Trading members must inform all clients about the commencement of RE trading, including the ISIN (INE448D20017), and clarify that REs are not ordinary shares of the company.
  • Contract notes and bills for RE purchases must prominently include a disclaimer stating that purchasing REs only grants the right to participate in the ongoing Rights Issue or to renounce the REs before the issue closes.
  • Trading members must ensure clients are aware that unsubscribed and unrenounced REs will lapse after the Issue Closing Date.

Important Dates

  • February 27, 2026: BSE notice issued
  • March 2, 2026: Commencement of RE trading; Rights Issue opens
  • March 4, 2026: Last day for trading in Rights Entitlements (renunciation window closes)
  • March 9, 2026: Rights Issue closes; unrenounced/unsubscribed REs lapse after this date

Impact Assessment

This circular has a moderate and targeted impact, primarily affecting existing shareholders of Padam Cotton Yarns Limited who have received Rights Entitlements. Trading members need to update their systems to handle the new RE scrip (PADAM-RE) and ensure client communication and contract note disclaimers are in place. The short three-day trading window (March 2–4) for renunciation requires prompt action from eligible shareholders. Broader market impact is limited given the company’s small-cap nature and the routine character of the notice.

Impact Justification

Routine rights entitlement trading notice for a specific company; relevant to existing shareholders and rights issue applicants of Padam Cotton Yarns Limited but limited in broader market impact.