Spencer's Retail Rights issue opens today: Find key highlights of the issue
Spencer’s Retail (SRL) Rights issue of 1,06,04,563 equity shares will open today for a cash price of Rs 75 per equity share
Spencer's Retail (SRL) Rights issue of 1,06,04,563 equity shares will open today for a cash price of Rs 75 per equity share. SRL, a Sanjiv Goenka (Duncan) group multi-format Omni channel retailer, aims to collect Rs 80 crore through the Rights Issue. The company intends to utilize the proceeds of the issue to meet its working capital needs and other general purposes.
The company will offer existing shareholder rights to purchase shares of Rs 5 value at Rs 75 each that is, at a premium of Rs 70 per share, in the ratio of 2 rights share for every 15 shares held as on the record date, July 29. Around 1.06 crore shares will be issued.
A Rights Issue is an offer to the existing shareholders of the company to purchase additional shares at a discounted price. The Rights shares are issued in proportion to their existing shareholding.
Key highlights of the issue
The issue will open for subscription, today, i.e. on August 4, 2020, and will close on August 18, 2020.
The company will offer existing shareholders 2 rights shares for every 15 shares held on July 29, 2020.
The issue is solely lead managed by ICICI Securities Ltd. and Link Intime India Pvt. Ltd is the registrar to the issue.
Post allotment, shares will be listed on BSE, CSE and NSE. SRL is spending Rs. 2.32 cr. for this rights issue process.
August 13, 2020, is the last date for market renunciation.
The shares will be allotted on August 25 and will be listed on August 27.
Renunciation means where an eligible employee refuses to subscribe to the rights issue and let it lapse. An eligible employee may renounce the shares in favour of another person instead of letting it lapse.
Spencer's Retail Ltd. (SRL) is a Sanjiv Goenka (Duncan) group company. It is one of the leading multi-format Omni-channel retailers in India, catering to the needs of the upmarket urban consumers for daily fresh food to world food and ingredients. It operates retail stores - primarily in food and grocery - across various formats. It sells products in various categories including food, fashion, general merchandise, homeware, consumer durables and electrical. Under its philosophy, "Makes Fine Living Affordable", the company caters to aspirational segments of the Indian population across various SEC by providing them with a wide range of quality merchandise at competitive prices.
The key tenet of SRL's merchandising strategy is to offer differentiated products in food and non-food categories at fair-market prices. The company makes global products locally available and local products conveniently available.