Everything You Need to Know About the Joonktollee Tea & Industries Rights Issue – Announcements – Trading Q&A by Zerodha

Joonktollee Tea & Industries (JOONKTOLL) will issue Rights Entitlements (REs) to anyone who its shares as of January 19, 2022 (record date). You will be eligible to receive Rights Entitlements (REs) if you have bought the shares on or before January 17, 2022. The ex-date is January 18, 2022.

These REs will be temporarily traded on the stock exchanges and will then be extinguished. You can either use the REs to apply for the rights shares of Joonktollee Tea & Industries or you can sell them in the market. You can check the announcement from the company here.

Issue Details

Ex-date January 18, 2022
Record Date January 19, 2022
Rate 1:1
Issue Price ₹ 60 per share
Issue Period February 4, 2022 to February 18, 2022
RE Trading Period February 4, 2022 to February 14, 2022
Tentative date of credit March 10, 2022
Tentative date of listing March 16, 2022

How to apply for the Joonktolle Tea & Industries Rights Issue?

Once you either receive the REs from the company or purchase them shares from the market, you will need to apply for the rights using Netbanking ASBA. You can check the process in this post.

You can also apply for rights shares through the website of the Registrar and Transfer agent. The website might not be fully live until the issue opens for the subscription.

You will need to enter your demat account’s Beneficiary Owner ID which is a 16-digit number while applying either on the RTA’s website or through your bank.

Note: If you have bought the REs from the secondary market. You will not be able to apply for rights shares from the RTA’s portal. You will have to make an application either through Netbanking ASBA service provided by your bank, you can check out the process here. In case your bank isn’t offering the option for application, you will have to make a plain paper application. You can download the application form here. The process for submitting the form has been explained on the 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.

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