How to apply for the Bharti Airtel Rights Issue?
You are eligible to receive the Right Entitlement (RE) of Bharti Airtel only if you've bought the shares of Bharti Airtel, on or before 24th September 2021. The Airtel-RE will be temporarily traded on the stock exchange before it gets extinguished eventually.
You can either use the REs to apply for the rights shares, or sell these REs in the market.
The issue details are as follows -
|Ex-date||September 27, 2021|
|Record Date||September 28, 2021|
|Issue Price||₹ 535 per share|
|Issue Period||October 5, 2021 to October 21, 2021|
|RE Trading Period||October 5, 2021 to October 14, 2021|
|Tentative date of credit||October 29, 2021|
|Tentative date of listing||November 1, 2021|
This rights issue is for partly-paid shares of the company. In other words, if you decide to apply, you will need to pay for the rights shares as per the below schedule:
|Amount payable per equity share||Face Value||Premium||Total|
|Two more additional calls as may be decided by the company||3.75||397.5||401.25|
After receiving the Rights Entitlements (REs) from Bharti Airtel or purchasing them from the market, you can apply for the rights shares through ASBA (Applications Supported by Blocked Amount) .
SEBI has temporarily allowed the Registrar & Transfer Agents of a company to collect rights applications online through their web portal. You can verify your entitlement on the RTA website here .
On the RTA's portal, select the `Apply for Rights Issue` option:
You will be prompted to enter your DP or BO ID before proceeding to make a payment using net banking transfer or UPI. Select the "I am a shareholder" option and fill your DP ID & PAN:
If you have purchased the REs from the secondary market, select the renouncee option. In case you had holdings and have purchased more REs, you can select the "I am a shareholder" option and enter the overall quantity.
Enter your email id and mobile number. Enter the OTP received and click on Validate OTP.
Enter the number of shares you wish to apply for.
Select the payment method.
Upon completion the following message will be displayed.
In case you are facing difficulty while applying, you may reach out to the RTA at [email protected] or call at +91 40 6716 2222.
Alternatively, if your bank supports ASBA, you can apply online just like an IPO by logging in to the net banking portal. If not then you would have received a courier of the Composite Application Form (CAF). You will have to fill the form and submit it at a Self Certified Syndicate Banks (SCSBs) branch.
The details of the Rights issue will be mentioned in the form which primarily includes the Rights Issue ratio and the Book closure date.
The details to be filled are:
- *Cheque/DD details (non ASBA).
- Select NSDL - if your DP starts with IN. Select CDSL if the DP ID is completely numeric.
- Your PAN number. If you have a joint account then fill in the PAN of the second holder.
- Fill your DP details. You can find your DP ID and the Beneficiary Owner ID(BO ID) which is a 16-digit number on Console .
- Your signature. Signatures of both account holders if it is a joint account.
Once done you can submit at any branch of a Self Certified Syndicate Banks (SCSBs). The list of banks can be found on the application form itself.
What will happen to my purchased holding of RE shares if I do not apply for the rights issue?
Your REs will lapse and you will lose the premium paid to acquire them. The RE will be in the form of temporary demat securities which will lapse if not renounced/exercised once the trading window is closed.
I don’t have the shares but bought REs, am I still eligible to apply for the rights issue?
In case you have bought REs but don’t have shares, you’re still eligible for the rights issue. You may apply for the rights shares either through the RTA’s portal or via net banking ASBA if your bank allows it. If you don’t take any action, and let the REs remain in your Zerodha account, they will lapse after the issue.
You can read more FAQ’s on Rights Issue and Rights Entitlements here .
You can check out this discussion in TradingQ&A to know more about Bharti Airtel Rights Issue.
Note: You can track the list of all corporate actions here .