Everything You Need to Know About the Gyscoal Alloys Limited Rights Issue

Gyscoal Alloys Limited (GAL) has announced a rights issue of 17.88 crore equity shares aggregating up to Rs. 49.18 crore. The rights issue opens for subscription on January 02, 2023, and will close on January 12, 2023. You can check the announcement from the company here.

Anyone who holds shares of Gyscoal Alloys Limited as of December 23, 2022 (record date) will be eligible for receiving Rights Entitlements (REs). These REs will be temporarily traded on the stock exchanges and will then be extinguished. You can either use the REs to apply for the rights shares of Gyscoal Alloys Limited or you can sell them in the market.

You will be eligible for Rights Entitlements (REs) if you have bought the shares on or before December 22, 2022. The ex-date is December 23, 2022.

Rights Issue Details

Issue Period January 02, 2023 - January 12, 2023
RE Trading Period January 02, 2023 - January 09, 2023
RE Symbol GAL-RE
Issue Price Rs. 2.75
Ratio 110:100
Ex-date December 22, 2022
Record Date December 23, 2022
Tentative Date of Allotment for rights shares January 19, 2023
Tentative Date of Listing for rights shares January 27, 2023

How to apply for Gyscoal Alloys Limited Rights Issue?

Once you either receive the REs from the company or purchase them from the market, you can apply for the rights shares using the below methods;

You can check the application process here.

You will need to enter your Demat account’s Beneficiary Owner ID which is a 16-digit number while applying for the rights issue.

The option to apply for rights shares through the RTAs portal is not available for this rights issue.

What will happen to my purchased holding of RE shares if I do not apply for the rights issue?

Your REs will lapse and you will lose the premium paid to acquire them. The RE will be in the form of temporary demat securities which will lapse if not renounced/exercised once the trading window is closed.

I don’t have the shares but bought REs, am I still eligible to apply for the rights issue?

In case you have bought REs but don’t have shares, you’re still eligible for the rights issue. You may apply for the rights shares either through the RTA’s portal or via net banking ASBA if your bank allows it. If you don’t take any action, and let the REs remain in your Zerodha account, they will lapse after the issue.

You can read more FAQ’s on Rights Issue and Rights Entitlements here.

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