What is Rights Issue?
Rights Issue — An offer letting existing shareholders buy additional shares at a discount, in proportion to their holding, before outsiders.
In simple terms
A 1:4 rights issue lets you buy 1 new share for every 4 you hold.
Why Rights Issue matters when you invest
Understanding rights issue helps you make better-informed decisions when you invest and trade on ROAR by DP TradeKING. Open a free account to put it into practice — ₹0 delivery brokerage and zero-commission direct mutual funds.
Rights Issue — frequently asked questions
What is Rights Issue?
An offer letting existing shareholders buy additional shares at a discount, in proportion to their holding, before outsiders.
What does Rights Issue mean in the stock market?
An offer letting existing shareholders buy additional shares at a discount, in proportion to their holding, before outsiders. A 1:4 rights issue lets you buy 1 new share for every 4 you hold.
Can you give an example of Rights Issue?
A 1:4 rights issue lets you buy 1 new share for every 4 you hold.
Related terms
Put it into practice — open a free account.
Enter your mobile number to get started — then download the ROAR app to finish KYC in about 10 minutes.