Hindalco goes ex-rights; share down 10%
Hindalco shares plunged 10 per cent Thursday as the stock price was adjusted to the rights issue.
By ET Online |
MUMBAI: Hindalco shares plunged 10 per cent on Thursday as the stock price was adjusted to the rights issue.
The company had recently announced a rights issue in the ratio of 3:7, which means for every shareholder holding seven shares will be eligible to purchase three shares for a price of Rs 96 per share.
On Thursday, the stock closed trading at Rs 138.50 on the BSE. As of Thursday's price, the cost of seven shares would work out to Rs 969.50, which means if the shareholder applies for rights issue, the next three shares would cost him Rs 96, ie Rs 288. Thus the cost of ten shares now stands at Rs 125.75 each.
After opening at Rs 124, the stock rose to a high of Rs 127 in trade so far and was currently trading at 124.92, down 9.82 per cent. The counter clocked a volume of 8,15,363 against two-week average of 7,94,081 shares.
The company had recently announced a rights issue in the ratio of 3:7, which means for every shareholder holding seven shares will be eligible to purchase three shares for a price of Rs 96 per share.
On Thursday, the stock closed trading at Rs 138.50 on the BSE. As of Thursday's price, the cost of seven shares would work out to Rs 969.50, which means if the shareholder applies for rights issue, the next three shares would cost him Rs 96, ie Rs 288. Thus the cost of ten shares now stands at Rs 125.75 each.
After opening at Rs 124, the stock rose to a high of Rs 127 in trade so far and was currently trading at 124.92, down 9.82 per cent. The counter clocked a volume of 8,15,363 against two-week average of 7,94,081 shares.
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