Small-cap cement stock offers rights issue in 1:2 at a steep discount of 22 per cent, know the record date!

Rights Entitlement ratio: One (1) Rights Equity Share for every two (2) fully paid-up Equity Shares held by the eligible equity shareholders

Incorporated in 1983, Anjani Portland Cement Ltd. (APCL) has two lines of business viz. manufacturing of cement and generation of power. The company is being promoted by Chettinad Cement Corporation Pvt Ltd which holds 75 per cent stake in APCL.

Recently, company in its press release has stated “This is to inform you that pursuant to the delegation of authority to the Rights Issue Committee by the Board of Directors of the Company at their meeting held on May 12, 2022, the Rights Issue Committee of the Board, has, at its meeting held today, i.e. December 8, 2022, inter alia fixed Friday, i.e. December 16, 2022 as the Record Date for the purpose of determining the equity shareholders who are entitled to receive the Rights Entitlements Rights Issue of the Company.”

Rights Issue size: 1,26,42,848 equity shares of face value of Rs 10/- each, for an aggregate amount not exceeding Rs 25,000 lakhs.

Rights Issue price: The Rights Issue price is determined at Rs 197 per share compared to current market price of Rs 253, which translate to a discount of nearly 22 per cent from its Thursday close of Rs 253.

Rights Entitlement ratio: One (1) Rights Equity Share for every two (2) fully paid-up Equity Shares held by the eligible equity shareholders as on the Record Date, i.e., December 16, 2022.