Business: Penny stock Advik Capital was in the news today, September 9, after its board approved a rights issue of equity shares. The board outlined key details including the price, record date, eligibility ratio and other conditions related to the issue. The decision is aimed at raising capital and expanding its operations.
Board approval and rights issue details
According to regulatory filings, the board of Advik Capital approved the rights issue proposal during its meeting held on September 7. The company plans to issue fully paid-up equity shares with a face value of Rs 1. The company plans to offer 19,98,05,013 equity shares through the rights issue, the amount of which will be ₹4,995.13 lakh assuming full subscription after the allotment process.
The issue price has been fixed at ₹2.50 per share, including a premium of ₹1.50 per equity share. Eligible shareholders can acquire additional shares at this discounted price. To determine shareholder eligibility, penny stock Advik Capital has set the record date for the rights issue as September 12, 2024. Shareholders holding equity shares as on this date will be entitled to participate. The eligibility ratio is 14:30, which means shareholders will be eligible to receive 14 rights equity shares for every 30 fully paid-up shares they hold. After the completion of the rights issue, the total number of outstanding equity shares will increase to 62,79,58,613. The rights issue will open for subscription on September 24 and will remain open till October 4, giving shareholders a chance to exercise their rights and subscribe to the newly issued shares. Rights issues allow investors to increase their ownership stake at a price lower than the current market rate.
