HCC ₹1,000 Crore Rights Issue: Check entitlement, record date, other details here
HCC has fixed Friday, December 5, as the record date for the rights issue. This means, those shareholders, who have shares of HCC as of Thursday's close in their demat account, will be considered to be eligible to participate in the rights issue. Those who purchase the shares on Friday will not be eligible to participate in the rights issue.
Existing shareholders of HCC will be entitled to 277 rights equity shares for every 630 fully paid-up equity shares held as on the record date.
By Hormaz Fatakia
Hindustan Construction Company Ltd. (HCC), on Monday night, finalized the terms of its rights issue, through which the company intends to raise ₹1,000 crore.
In an exchange filing, HCC mentioned that its board has approved the issue of 79.99 crore rights equity shares, which will be used to raise the ₹1,000 crore sum.
Price for the rights issue has been fixed as ₹12.5 per rights equity share, which is a discount of 48% from HCC's closing price on Monday.
Rights issue is generally a fund raising method for a company where it issues shares at a discount to the current price to raise an amount, without increasing the debt burden of the company.
Existing shareholders of HCC will be entitled to 277 rights equity shares for every 630 fully paid-up equity shares held as on the record date.
HCC has fixed Friday, December 5, as the record date for the rights issue. This means, those shareholders, who have shares of HCC as of Thursday's close in their demat account, will be considered to be eligible to participate in the rights issue. Those who purchase the shares on Friday will not be eligible to participate in the rights issue.
The rights issue will open for subscription on Friday, December 12 and close for subscription on Monday, December 22.
Wednesday, December 17, will be the final day for on-market renunciations for existing HCC shareholders, while December 19 will be the final day for off-market renunciations.
After the rights issue, the total number of outstanding shares for HCC will increase to 261 crore from 181 crore prior to the rights issue.
Shares of HCC have declined 15% in the last one month. So far in 2025, the stock has declined 37%.
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