Description
NSE notifies commencement of trading in Rights Entitlements (REs) of Krishival Foods Limited from December 26, 2025, with renunciation period ending December 31, 2025.
Summary
The National Stock Exchange has notified the commencement of trading in Rights Entitlements (REs) of Krishival Foods Limited with effect from December 26, 2025. The circular specifies trading parameters, renunciation period, market lot size, and mandatory disclosures that trading members must provide to clients. The REs will be traded in the Trade to Trade segment with compulsory demat settlement.
Key Points
- Symbol: KRISHFL-RE (Series: BE)
- ISIN: INE0GGO20015
- Total Rights Entitlements: 3,332,322
- Market lot size: 1
- Trading segment: Trade to Trade with compulsory demat for all investors
- Display name: Krishival Foods Limited-RE
- Trading members must inform clients that REs are not ordinary shares
- Contract notes must include disclaimer about REs giving right to participate in rights issue or renounce
- Un-renounced and un-subscribed REs will lapse after issue closing date
Regulatory Changes
No regulatory changes introduced. This circular notifies admission of securities pursuant to existing Regulation 3.1.1 and Regulation 2.5.5 of the National Stock Exchange (Capital Market) Trading Regulations Part A.
Compliance Requirements
For Trading Members:
- Must inform all clients about commencement of trading in REs
- Must clearly mention the ISIN (INE0GGO20015) to avoid confusion with ordinary shares
- Must include prominent disclaimer in contract notes/bills for RE purchases stating:
- Purchase of REs only provides right to participate in ongoing rights issue by making application with requisite application money OR renounce the REs before issue closes
- REs that are neither subscribed nor renounced on or before Issue Closing Date will lapse and be extinguished
For Investors:
- Trading permitted only in demat form (compulsory demat)
- Settlement through Trade to Trade segment
Important Dates
- Circular Date: December 23, 2025
- Effective Date: December 26, 2025
- Trading Commencement: December 26, 2025
- Renunciation Period: December 26, 2025 to December 31, 2025
- Suspension of REs: January 01, 2026
- Issue Closing Date: December 31, 2025 (after which un-subscribed/un-renounced REs will lapse)
Impact Assessment
Market Impact: Medium - The circular facilitates a short 6-day trading window for renunciation of rights entitlements, allowing existing shareholders who do not wish to subscribe to the rights issue to monetize their entitlements by selling them in the secondary market.
Operational Impact: Trading members need to ensure proper client communication and include mandatory disclaimers in contract notes. The Trade to Trade settlement and compulsory demat requirement ensures transparent and settled transactions.
Investor Impact: Shareholders of Krishival Foods Limited can either subscribe to the rights issue, renounce (sell) their REs during the trading period, or let them lapse. The narrow trading window of 6 days requires prompt decision-making.
Impact Justification
Circular enables trading of rights entitlements for a specific company's rights issue with limited trading window. Impact is medium as it affects only shareholders and potential investors of Krishival Foods Limited.