The National Stock Exchange (NSE) on December 16, 2024, issued a circular regarding the Trading of rights entitlements pursuant to the Rights Issue of IRB Infrastructure Trust (InvITs).
The following has been stated:
Trading members shall inform all its clients about the commencement of trading in REs mentioning the ISIN of the RE and that the same shall not be mistaken for ordinary units of the concerned InvITs.
Trading members shall include a disclaimer prominently in the contract notes/bill containing the purchase of REs informing the Clients that the purchase of REs only gives them the right to participate in the ongoing Rights Issue of the concerned InvITs by making an application with requisite application money or renounce the REs before the issue closes. REs that are neither subscribed by making an application with requisite application money nor renounced, on or before the Issue Closing Date shall lapse and shall be extinguished after the Issue Closing Date.
This circular shall be effective from December 18, 2024.
[Circular No.: 2394/2024]
