Everything You Need to Know About the Shivam Autotech Rights Issue

Trading Announcements
1

Shivam Autotech Ltd. (SHIVAMAUTO) will issue Rights Entitlements (REs) to anyone who holds its shares as of December 10, 2021 (record date). You will be eligible to receive Rights Entitlements (REs) if you have bought the shares on or before December 8, 2021. The ex-date is December 9, 2021.

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 Shivam Autotech or you can sell them in the market. You can check the announcement from the company here.

Issue Details
Ex-date December 9, 2021
Record Date December 10, 2021
Ratio 2:9
Issue Price ₹ 18 per share
Issue Period December 31, 2021 to January 28, 2022
RE Trading Period December 31, 2021 to January 21, 2022
Tentative date of credit February 4, 2022
Tentative date of listing To Be Confirmed

How to apply for the Shivam Autotech Rights Issue?

Once you either receive the REs from the company or purchase them 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 also apply for rights shares through the website of the Registrar and Transfer agent. The website might not be fully live until the issue opens for the subscription.

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.

Note: If you have bought the REs from the secondary market. You will not be able to apply for rights shares from the RTA’s portal. You will have to make an application either through Netbanking ASBA service provided by your bank, you can check out the process here.

In case your bank isn’t offering the option for application, you will have to make a plain paper application. You can download the application form here. The process for submitting the form has been explained on the form itself.

If you face any difficulties in applying for the rights shares, you can reach out to the RTA, Bigshare Services at [email protected] or at +91 22 6263 8200.

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.

1 Like
2

Dear Shubh

I have brought Shivam Auto Right Issue during trading period & now want to apply it.

However continuously getting error that Demat Account No not valid even though I am entering correct Zerodha DP ID. Attached screen shot.

Combined
Combined1880×1477 377 KB

Also trying to contact their registrar but they are not reachable via call or mail both.

I don’t know what to do in this case.

Please help as tomorrow is the last day to apply.

3

As explained above:

If you have bought the REs from the secondary market. You will not be able to apply for rights shares from the RTA’s portal. You will have to make an application either through Netbanking ASBA service provided by your bank, you can check out the process here.

In case your bank isn’t offering the option for application, you will have to make a plain paper application. You can download the application form here. The process for submitting the form has been explained on the form itself.

4

Thanks you for the clarification @ShubhS9

Got your point That I’m not able to apply via registered website, But to apply via ASBA I required CAF number. which is I’m not able to find it. I checked my all email and even i haven’t received any courier for this right issue. So can you please help me to find it CAF number apply it via ASBA?

5

CAF number isn’t supposed to be mandatory now since there are no physical rights composite application forms. If the bank hasn’t removed it from their portal, you can enter any dummy number (let’s say your PAN). Please reach out to your bank for making the required changes on their portal (Some banks have already grey-ed out this field).

6

Ok Thank you so much @ShubhS9

7

Hi Shubh ,

I have purchased 290 RE from open market on 6th Jan , After that i applied it through ASBA to claim entitlement qty was 290 through ASBA , Now the 290 qty which i have applied through ASBA has been credited to my kite application , but what about the 290 RE which were there in my account till 21st Jan

8

Rights Entitlements are temporary securities that give you the right to apply for rights shares. The REs will cease to exist once the issue closes. The amount you pay for purchasing RE’s goes to the shareholder who sold this and don’t get counted towards price of rights shares.