RIL Shares Tank 6%; Stock To Turn Ex-Rights On May 13

Shares of Reliance Industries on the back of heavy volume in trade on May 12, 2020 due to profit booking plunged as much as 6% to day's low of Rs. 1483.30 per share on the BSE. In the previous session, the stock soared past levels of Rs. 1600.

RIL Shares Tank 6%; Stock To Turn Ex-Rights On May 13

On Wednesday, the stock of RIL will turn ex-rights. On April 30, the oil to telecom conglomerate in order to become a debt free company by March 2021 announced its first Rs 53,100 crore 1:15 rights issue in 29 years.

At the time of application, eligible shareholders for the rights issue that shall be determined basis the eligibility as on record date (fixed as May 14) will have to pay just 25% of the share price upfront and the remaining 75% can be paid via calls.

In a regulatory filing to the exchange, RIL said, "If the shareholding of any eligible equity shareholder is less than 15 equity shares or is not in the multiple of 15 equity shares, the fractional entitlement of such eligible equity shareholder shall be ignored for the computation of the rights entitlement".

Interestingly, the stock of RIL has outperformed the benchmark indices with a staggering recovery of as much as 80% since the stock market crash in March.

Last, the stock of RIL quoted lower by 3.66% or Rs. 57.65 at Rs. 1519.10 apiece on the BSE.

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