Small-cap stock below ₹20 declares rights issue worth ₹350 crore. Share jumps 18% in five days

Small-cap stock below ₹20: Sepc Limited share price surged as much as 2 per cent in Thursday's trading session after the board approved rights issue worth ₹350 crore.

At 12:05 pm, Sepc share price were trading at ₹15.49 apiece. The small-cap stock rallied over 18 per cent in four days.

The small-cap share has also given multibagger returns by soaring over 102.77 per cent in five years.

Sepc rights issue details

"We had informed you that the Board of Directors and the members of the Rights Issue Committee of the Company had approved the offer and issuance of partly paid-up Equity Shares of the Company, by way of a Rights Issue up to an aggregate amount of Rs. 35,000 Lakhs (the "Rights Issue"), in accordance with the Companies Act, 2013, as amended and the rules made thereunder, the Securities and Exchange Board of India (Issue of Capital and Disclosure Requirements) Regulations, 2018," the company said in an exchange filing.

The rights issue will open for subscription on June 9 and close on June 23.

The company further informed that the rights issue price has been set at ₹10, with the payment divided into two parts: ₹5 to be paid at the time of application and the remaining ₹5 to be paid later during the First and Final Call.

The company has set Friday, May 23, as the record date to determine shareholders eligibility for rights issue.

“Rights Entitlement Ratio: 11 (Eleven) Rights Equity Shares (partly paid up) for every 50 (fifty) fully paid-up Equity Share held by the eligible shareholders as on the record date,” the company added.

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