Everything you need to know about the M&M Financial rights issue


The shares that have ben bought through rights will be allotted by 21st August. My question is whether the share price will undergo correction after 21st Aug or is that already factored in when the share price was adjusted on Ex-date(22nd July).


22 July was ex-date, share price has already factored in Rights Issue.

Sir I bought 100 shares of M&M finance on 20th July Monday and sold on 22nd July after ex-right. Still broker is nor transfering RE shares to my Demat and saying as on record date shares were not in my demat i am not eligible! Where should I complain about this ? My broker is Axis Direct.

You can apply for more but chances of getting more shares than RE’s you have are very less.

You are eligible, since you sold on ex-date, your broker will receive the RE’s on your behalf and they should transfer them to you.

I can’t tell where to raise complaint, try contacting your broker and get clarification from them.

The process to apply has been explained here.

How to apply for the Mahindra Financial rights issue?

Once you either receive the REs from the company or purchase it from the market, you will need to apply for the rights shares using Netbanking ASBA. You can check the process in this post . You can verify your entitlement on the website of the Registrar & Transfer Agent . The website will not be completely live until the issue opens.

You will need to enter your demat account’s Beneficiary Owner ID which is a 16-digit number while applying either on the RTA’s website or through your bank.

@mohitmehra, @ShubhS9

Thank you guys. M&M Fin Serv REs were credited in my Kite holding today morning as was predicted by you.

I have seen what have already mentioned to a few queries before on the discrepancy error in Console. However, I would just nag you once more. Two further issues I am bringing to your attention -

  1. The value of REs are not being added to my total holding value. As a result, the total value of holding is getting wrong.
  2. Though you are telling that Zerodha would take care of the discrepancy issue and that an investor need not do anything, I am finding that the Reliance RE issue discrepancy message is still there in my Console under Porfolio tab. So, I now have two discrepancy message - one for Reliance RE and M&M FinServ RE. Does that mean that Zerodha would take care of discrepancy and the discrepancy message would continue to be there in Console?

Thank you again for your wonderful effort guys.

I am entitled with 30 shares.
But I bought 30+70 = 100 and paid 5000.
Will I be getting 100 re shares if not will I get refund for the 70 ?


Any prediction what will happen to the share price after august 11 ?

And when will we get the rights share in our demat acc ?

what does re entitlement shares have to do with the rights issue ?

You should get one from RTA.

You have already applied for rights shares, then don’t sell these, else you won’t get allotment. During allotment RTA will check for RE’s in your Demat and then allot shares accordingly, if you don’t have RE’s in your Demat, you won’t get rights shares.

You can apply for IPO for listing gains but don’t think that can be done with rights issue.

You will get 100 shares.

Any idea when will I be knowing?
How got credited and how much will be refunded?

But I am entitled only 30 how will I get 100 shares for sure ?

M&M Financial share has already factored in Rights Issue in its price so there isn’t going to be any major change in price other than usual sentiment.

Should be credited to your Demat account on or about 25th August.

RE’s are eligibility tokens to apply for rights issue. The number of RE’s you have = Number of shares you are entitled to receive during allotment.

You had 30 RE’s and you bought 70 more = 100.
You applied for 100 shares, RE’s you have 100, Shares you will get 100.

I always thought since only 30 shares eligible for me I will be getting only 30 shares.
Out of curiosity I bought…if I get 100 it’s a great bonus for me right ?
Any idea when it will be reflected in my portfolio ?

This is how my portfolio look.
How will it be changed

After listing of these rights shares on 27th August, M&MFIN will show you 130 shares.

My rights entitled is only 30.
Since I paid for 100 I will be getting 100 shares.
Sorry for asking again and again still can’t believe how this works.

If I have applied for 500 also I would get 500 ??
When rights entitled is only 30?