Piramal Pharma Commences Rights Issue: Overview of Pricing, Ratio, and Other Pertinent Details
Piramal Pharma, a prominent entity in the pharmaceutical sector, has officially launched its rights issue for subscription on the current date. Prospective investors keen on participating in this lucrative opportunity will have the privilege to submit their applications for the rights offer until the 17th of August, 2023.
Eligibility Criteria for Participation
To partake in this advantageous rights issue initiated by Piramal Pharma, interested applicants must fulfill a crucial criterion. Specifically, individuals who were shareholders of Piramal Pharma as of the rights issue record date, which was the 2nd of August, 2023, are deemed eligible to apply for participation in the company’s ongoing rights issue.
This distinctive offering is poised to provide eligible shareholders with a compelling avenue to enhance their investment in Piramal Pharma and align themselves with the company’s strategic growth trajectory. By adhering to the stipulated application timeline and eligibility guidelines, potential investors can seize the opportunity to capitalize on Piramal Pharma’s promising prospects through this rights issue.
Piramal Pharma’s Rights Issue Ratio: A Closer Examination
In line with its ongoing rights issue, Piramal Pharma has publicly disclosed a crucial aspect that pertains to the allocation of rights shares. For every 46 fully paid-up Equity Shares held by eligible shareholders as of the Record Date, which was the 2nd of August, 2023, the company has determined that five additional rights shares will be allotted.
This rights issue ratio, succinctly expressed as 5:46, underscores the equitable distribution strategy that Piramal Pharma has embraced. By adhering to this clearly defined ratio, the company endeavors to ensure a fair and balanced allotment of rights shares to its existing shareholders, thereby fostering investor confidence and fortifying its commitment to transparent and responsible corporate practices.
Official Communication to Indian Stock Market Bourses Regarding Piramal Pharma’s Rights Issue Record Date
Piramal Pharma, a notable entity within the Indian stock market, has formally communicated pertinent information regarding its forthcoming rights issue record date. In adherence to established regulatory protocols, the company has shared the following details to ensure transparency and compliance:
In continuation of our previous communication, which outlined the outcomes of the Board meeting held on February 8, 2023, Piramal Pharma hereby informs the esteemed bourses of the Indian stock market about a pivotal development. During the aforementioned Board meeting, a resolution was reached to undertake the issuance of fully paid-up equity shares of the Company, each possessing a face value of ₹10.
This significant endeavor, sanctioned through a rights issue, has been strategically designed to secure additional capital for the company’s growth aspirations. The quantum of this rights issue is not to exceed ₹1,050 crore, as per the provisions stipulated by the Companies Act of 2013, in its amended form, and the corresponding regulations. Conformity to the Securities and Exchange Board of India (Issue of Capital and Disclosure Requirements) Regulations of 2018, subject to relevant amendments, as well as other pertinent laws, underscores the comprehensive legality and regulatory alignment of this initiative.
Key Details of Piramal Pharma’s Rights Issue: A Concise Overview
Rights Issue Period: The Piramal Pharma rights issue is scheduled to commence on the 8th of August and will remain open for subscription until the 17th of August 2023.
Entitlement Ratio: The entitlement ratio for the rights issue has been established by Piramal Pharma at 5:46. This signifies that eligible applicants will be allotted 5 rights issue shares for every 46 shares they hold.
Rights Issue Price: Piramal Pharma has stipulated the price for its rights issue at ₹81 per share. This price point is of particular significance as the prevailing market price for Piramal Pharma shares is approximately ₹100. Consequently, the rights issue is being offered at a premium of approximately 19%.
Allotment Date: The anticipated date for the allotment of rights shares is set for the 23rd of August 2023, subject to regulatory approvals and procedural requirements.
Listing on Exchanges: Piramal Pharma’s rights issue is intended to be listed on both the BSE (Bombay Stock Exchange) and the NSE (National Stock Exchange). The provisional date for the listing of the rights issue on these prominent exchanges is the 28th of August 2023.
These succinctly enumerated points encapsulate the salient features of Piramal Pharma’s rights issue, thereby providing investors and stakeholders with a comprehensive understanding of the significant elements associated with this strategic corporate move.
