Hi, I would appreciate if you can guide on how it would impact Reliance F&O holders - On Reliance Jio Financial allotment (1:1)
Whether F&O - holder also get share? or there would be price adjustment? But price would be discovered on listing?
Would be much help if you can explain.
Thank you.
No, holders of F&O contracts don’t get corporate action benefits. Previously Motherson Sumi Systems went through demerger and traded in F&O segments as well.
The exchange on that occasion revised the expiry date for F&O contracts to before the ex-date and reintroduced contracts again on the ex-date. More on this here: Adjustments in F&O contracts of Motherson Sumi on account of demerger
All F&O position will expire on last trading day CUM demeger… fresh contacts will be introduced from EX date based on price discovered in cash of truncated entity…