Description

NSE notification for trading of rights entitlements of Davangere Sugar Company Limited effective August 14, 2025.

Summary

NSE has notified the commencement of trading in Rights Entitlements (REs) of Davangere Sugar Company Limited (Symbol: DAVAN-RE1) effective August 14, 2025. The REs will be traded in the Trade to Trade segment with compulsory demat requirement for all investors.

Key Points

  • Symbol: DAVAN-RE1 with ISIN INE179G20029
  • Total Rights Entitlements: 489,201,197
  • Trading in BE series under Trade to Trade segment
  • Market lot size: 1
  • Compulsory demat for all investors
  • Trading members must inform clients about RE nature and include disclaimers

Regulatory Changes

Admission of Davangere Sugar Company Limited Rights Entitlements to NSE Capital Market segment under specific trading regulations.

Compliance Requirements

  • Trading members must inform clients about commencement of RE trading
  • Contract notes must include prominent disclaimers explaining RE purchase rights
  • Clients must be informed that REs are not ordinary shares
  • Disclaimer must explain subscription and renunciation process
  • Warning about lapse of unsubscribed/unrenounced REs after issue closing

Important Dates

  • Trading commencement: August 14, 2025
  • Renunciation period: August 14, 2025 to August 25, 2025
  • Suspension date: August 26, 2025
  • Circular effective: August 14, 2025

Impact Assessment

Medium impact on Davangere Sugar Company shareholders who can trade their rights entitlements. Limited market impact as it affects only specific company’s rights issue participants. Trading members need to ensure compliance with disclosure requirements.

Impact Justification

Rights entitlement trading affects specific company shareholders with defined trading period and compliance requirements