At India IPO, we specialize in offering comprehensive Rights Issue Advisory Services to companies that are willing to raise funds by offering shares to their existing shareholders. A rights issue is a powerful instrument that can help companies to consolidate their balance sheet, finance growth strategies, boost shareholders' value and reduce debt without losing control under their current ownership structure.
We assist promoters, family-owned businesses, MSMEs and listed companies in navigating the entire rights issue process from regulatory compliance to successful capital mobilisation — with a customized and strategic approach.
A Rights Issue is a way in which a company can raise extra capital by giving its existing shareholders the option of buying some new shares at a discounted rate, in proportion to their current shareholding. This strategy helps companies to raise money while allowing existing shareholders to keep their shares or even increase them.
Rights Issues are less expensive, faster than the public offering and are favoured in raising capital when the companies do not want to dilute the promoter shareholding to a large extent.
The Rights Issue is a complex process requiring regulatory, strategic and operational procedures. Through the Rights Issue Advisory Services of India IPO, businesses enjoy the following:
We design the most appropriate rights issue format- the issue size, ratio, pricing, renounceability and timing to fit your business plans and shareholders' interests.
We make sure that you are compliant on an end-to-end basis with SEBI guidelines, stock exchange requirements and Companies Act requirements. We also compile and submit all the necessary documents, such as the Letter of Offer (LoF), Public Announcements and process regulatory approvals.
Proper pricing of the issue is very important. We will undertake thorough valuation tests and market surveys to advise on a competitive but attractive pricing policy for your shareholders.
With our Rights Issue Advisory Services, we develop effective communication to inform and involve existing shareholders in the process of the rights issue with transparency and clarity in the rights issue process.
In cases where full subscription is uncertain, we arrange for underwriting support and explore investor interest to safeguard capital mobilisation targets.
India IPO takes care of the entire process of your rights issue, right from the appointment of intermediaries (merchant bankers, RTA, legal advisors) to timelines, disclosures and listing of new shares.
If you're exploring capital raising options and want to retain control while strengthening your finances, a Rights Issue could be the strategic solution for your business. India IPO is here to guide you through every step of the journey.
