How KOTA.N Right issue will affect the share price.

bGuom · 1 How KOTA.N Right issue will affect the share price. Sun Jan 10, 2021 12:10 pm

bGuom

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KOTA.N is currently trading at 8.1 RS. They recently announced a Right issue at 3RS per share with the proportion of 7:2

How will this affect the share price ? Will it bring down the price as new shares will be sold in bulk after the right issue ?

Love Boy

Love Boy

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It must be around 3-4.2 according to my calculations.

Majority of share holders average is Rs.7/=

So, after RI. their average must be (7*2+3*7)/9=Rs3.9.../=

So, it is better to exist short term and enter after the RI. This is my opinion. Very Happy

harshana4

harshana4

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Love Boy wrote:It must be around 3-4.2 according to my calculations.

Majority of share holders average is Rs.7/=

So, after RI. their average must be (7*2+3*7)/9=Rs3.9.../=

So, it is better to exist short term and enter after the RI. This is my opinion.

Can we expect this on XR ?