InvestorQ : How has been the trading in the RIL-RE on the second day of trading on 21 May?
Dawn Cherian made post

How has been the trading in the RIL-RE on the second day of trading on 21 May?

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Dilmini Mercia answered.
1 year ago
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Shareholders of Reliance Industries got a chance to cash on the rights issue before being allotted new shares as the RE shot up nearly 50% in two days of trading. Investors paid as much as Rs 232 to invest in the RE; to be eligible for participation in the Rs.53,125 crore rights issue. Close to 32 million units changing hands on Thursday. One RE will give an investor the option to subscribe to one RIL share in the rights issue. RIL has fixed the rights issue price at Rs.1257 per share. Meanwhile, the RIL spot price closed at Rs.1437. The difference between the current price and rights issue price is Rs 180.4, or 14.35 per cent. Technically, the cost of acquisition for one share for those buying REs in the secondary market works out to Rs 1,469 (Rs 1,257 plus the RE price of Rs 212). Market players said the premium of Rs 32 was to factor in the interest cost.

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