Description

NSE notifies the commencement of trading in Rights Entitlements of Hilton Metal Forging Limited from January 05, 2026 to January 07, 2026 in the Trade to Trade segment.

Summary

The National Stock Exchange of India has notified the admission of Rights Entitlements (REs) of Hilton Metal Forging Limited for trading on the Capital Market segment. Trading in these REs will commence on January 05, 2026 and continue until January 07, 2026. The REs will be traded in the Trade to Trade segment in compulsory demat mode. A total of 11,284,093 Rights Entitlements will be available for trading under the symbol HILTON-RE1 with ISIN INE788H20025.

Key Points

  • Symbol: HILTON-RE1, Series: BE, ISIN: INE788H20025
  • Total Rights Entitlements: 11,284,093
  • Market lot: 1
  • Trading will be in Trade to Trade segment with compulsory demat for all investors
  • REs that are neither subscribed nor renounced before the Issue Closing Date shall lapse and be extinguished
  • Trading members must inform clients that REs are not ordinary shares of the company
  • Disclaimer required in contract notes about the nature and obligations of RE purchases

Regulatory Changes

No regulatory changes introduced. This circular implements existing regulations under Regulation 3.1.1 and Regulation 2.5.5 of the National Stock Exchange (Capital Market) Trading Regulations Part A for the specific rights issue.

Compliance Requirements

For Trading Members:

  • Inform all clients about the commencement of trading in REs, mentioning the ISIN (INE788H20025)
  • Clarify to clients that REs should not be mistaken for ordinary shares
  • Include a prominent disclaimer in contract notes/bills for RE purchases stating:
    • Purchase of REs only gives the right to participate in the ongoing Rights Issue by making an application with requisite application money OR renounce the REs before issue closes
    • REs which are neither subscribed nor renounced on or before the Issue Closing Date shall lapse and be extinguished

For Investors:

  • REs must be held in demat form (compulsory demat)
  • Action required before Issue Closing Date: either subscribe with application money or renounce the REs

Important Dates

  • Circular Date: January 01, 2026
  • Effective Date: January 05, 2026
  • Trading Period (Renunciation): January 05, 2026 to January 07, 2026
  • Suspension Date: January 08, 2026
  • Issue Closing Date: On or before which REs must be subscribed or renounced to avoid lapsing

Impact Assessment

Market Impact: Medium - Limited to shareholders of Hilton Metal Forging Limited who hold Rights Entitlements. The 3-day trading window provides a brief opportunity for renunciation.

Operational Impact: Trading members must ensure proper client communication and disclaimer inclusion in contract notes. The Trade to Trade segment classification requires settlement on a T+1 basis with no intraday squaring off.

Investor Impact: Shareholders must act within the short trading window (3 days) to either trade their REs or make decisions about subscription. Failure to act will result in lapsing of entitlements after the Issue Closing Date.

Impact Justification

Affects shareholders of Hilton Metal Forging Limited who wish to trade or renounce their Rights Entitlements during the limited 3-day trading window. Important for rights issue participants but specific to single company.