InvestorQ : Why did IPOs make a revival in the last 3 years?
simran Kaur made post

Why did IPOs make a revival in the last 3 years?

Answer
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varsha Motwani answered.
2 years ago


Like in the case of dividends, bonus and stock splits, the logic of record date applies here also. All shareholders whose names appear as on the end of the record date will be entitled to the rights shares. Shareholders who want to purchase the shares to be eligible for the rights will have to do it before the Ex-Rights date. If the record date for the rights is on 20th May then shares will start trading ex-rights on 19th May and hence shareholders will have to buy the shares by 18th May to be eligible for the rights shares. In case of holidays, this period could get longer. That means if you want to get the rights shares then you need to ensure that the shares come into your demat account before the record date. Otherwise it will not be available to you.