Penny stock rallies 170% in 3 years, Board sets record date for 1:1 rights issue

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Transwarranty Finance Limited operates in the Non-Banking Financial Company (NBFC) sector and is a small-cap company with a market worth of 25.93 Cr. Since 1994, Transwarranty Finance Limited (Transwarranty), an Indian company with headquarters in Mumbai, has offered a comprehensive variety of financial and capital market services to more than 1,000 large, small, and medium-sized businesses as well as to retail clients throughout India. Transwarranty is a Non-Banking Finance Company (NBFC) that is registered with the Reserve Bank of India (RBI), listed on both the National Stock Exchange (NSE) and the Bombay Stock Exchange (BSE), and provides financial advising services. Today on 26th October, the company has fixed record date for 1:1 rights issue in order to determine the eligibility of the shareholders for the purpose of the same.

The Board of Directors of the company said in a stock exchange filing that “We would like to inform you that the Rights Issue Committee Meeting held today (which commenced at 4.00 p.m. and concluded at 4.40 p.m.) on Wednesday, October 26, 2022 have inter alia, considered and approved the following: – Record Date to be considered as Friday, November 4, 2022.’

Rights issue details of Transwarranty Finance as per BSE filing

Issue Size: 2,44,60,568 Fully paid-up Equity Shares of Rs. 10 each at Rs.10 per share aggregating to Rs. 2446.06 Lakhs.

Issue Price: Rs. 10 per share

Terms of Payment: Rs. 3 per share on Application, Rs. 7 per share on subsequent calls as may be decided by the Board of Directors from time to time.

Ratio: 1 Share for Every 1 Equity Shares held

Issue Opening Date: Tuesday, November 15, 2022

On-Market Renunciation Date: Wednesday, November 23, 2022

Issue Closing Date: Tuesday, November 29, 2022

ISIN for Rights Entitlement: INE804H20012

The last closing price for Transwarranty Finance Limited shares was recorded at 11.10 apiece level, up by 1.83% from the previous close of 10.90. The last traded volume of the stock was 11,483 shares compared to the 20-Day average volume of 4,791 shares. In the last 3 years, the stock has generated a multibagger return of 174.36%. In the last 1 year, the stock has gained 86.55% and on a YTD basis, the stock has gained 31.36% so far in 2022. For the quarter that ended September or Q2FY23, the company recorded a promoter shareholding of 53.61% and a public stake of 46.38%. 

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