Reliance Industries: How To Apply Rights Issue Shares?

Reliance Industries Limited (RELIANCE) announced its Rights Issue after 30 years, the last time it came up with Rights Issue was in 1991. The company came up with its Right Issue as part of its aim to become a debt-free company.

Rights Issue Complete Information

The Rights Shares of Reliance Industries will be allotted at Rs.1257/- per share. Out of which 25% has to be paid now i.e. Rs.314.25 per share, balance will be paid in two future calls. Expected 25% in May 2021 & 50% in Nov 2021. (Source)

Reliance Industries Rights Issue is open from May 20th, 2020 to June 3rd, 2020 to apply.

Record Date is May 14th, 2020 means if you have shares of Reliance Industries as on May 14th then you are entitled to apply for Rights Issue. The ratio for rights issue is 1:15 means you get 1 Right Issue entitlement for every 15 shares you own.

This entitlement is currently shown in your Demat account. There is no maximum limit. You can apply for any number of shares in this issue and up to entitled shares are guaranteed allotment for you.

Anything that you apply more than your entitled shares, allotment for these will be decided by the company.

Here’s a piece of exclusive information related to right entitlements, unlock to know more (it’s free)

 

Suppose you have Rights Entitlement for 500 shares then you will have guaranteed allotment of 500 shares.

How To Apply The Rights Issue?

There are 3 methods to apply for the Rights Issue of Reliance Industries – 2 are online methods & 1 is the offline method.

Online Methods to Apply for Reliance Industries Rights Issue

1. Internet Banking

Log in to your net banking > It will have the option to invest in IPO/Rights (if your bank has enabled it) > It will show Reliance Rights Issue Apply Option > Apply.

What will you need? Your basic details like…

• Folio/DP ID, Client ID
• No. of Rights you want to Apply

In this method, no amount will be debited from your account, as per ASBA rules the total amount equal to the number of shares multiplied by Rs.314.25/- will be blocked from your account and will be debited after successful allotment else will be released.

2. Online through RTA Website

The RTA (Registrar & Transfer Agent) for Reliance Industries is K Fintech (formerly known as Karvy)

So to apply through the RTA website,

Log in to rights.kfintech.com > Click on R-WAP Apply for Rights Issue (Go) > Enter your basic details like PAN, DP ID/Folio No. > Make payment through net banking or UPI.

This option is only for Resident Individuals, NRI cannot use this option and for payment method, UPI the maximum limit is Rs.2 Lacs. Unlike the first method, the amount will be debited instantly and refunds will be made later on to your bank account in case you get less allotment than your applied shares.

Offline Method to Apply Rights Issue of Reliance Industries

 1. Filling Form

Download the Application Form from here > Print & Fill the Form with basic details like Name, PAN, DP ID, Client ID, No. of Shares to Apply, Bank Account details. > Sign the Filled Form > Submit It physically to your Bank Branch.

67 Banks are currently available for ASBA facility, You can click here to check if your bank is in the list or not. No Cheque is to be Attached. Similar to the 1st online method, the amount Rs.314.25 per share will be blocked from your bank account and released in case the allotment is less than the number for shares applied.

So this was all about Reliance Industries Rights Issue 2020. I hope it helps!