Any idea on CAF no ? while applying for right issue through HDFC bank there is an ask for CAF no
I’m not an expert but I’m having an opinion that you have to pay additional 22/ per share for buying right issue in ASBA. Equal amount will be blocked by bank and partial amount would be released if you get partial allotment.(just like IPO block and unblock process).But hear client has to apply in ASBA by their own and broker doesn’t have anything to do in this matter what I suppose.
I hv additional question to Zerodha
In case of applying additional right issue should one have to buy RE from market (currently 7+/)
Or if one apply directly in ASBA???pls adv.
Also suggest if additional buying is worthy or not as currently share price is 29/.
And one buys RE 7+22(right issue price) =29(same as mkt price)
You can apply for any number of shares, irrespective of the REs you hold. However, the allotment will be guaranteed only to the extent of REs held. For remaining shares, the allotment will be done on lottery basis and if you don’t get the allotment, amount will be refund.
If you need guaranteed allotment, then you will need to buy additional shares.
Yes.
You will have to pay Rs. 22. The amount you pay for purchasing REs isn’t accounted while you apply for rights shares as this amount goes to the shareholder who sold the REs.
You can check the process here: How do I apply for the rights issue of Piramal Enterprises? – #3 by Bhuvan
As the applications are now submitted online, CAF number isn’t needed. You can keep that field blank.
Okay. So If I buy more REs then I will get a guaranteed allotment but the share price in this case will not be 22/share but will be 22(issue price) + 7(RE price) = 29/share. Correct me if wrong
I’m going to apply for the South Indian Bank rights issue using my HDFC Bank account. While applying, it’s asking for the CAF number & Facilitator Code, but I’m unable to find it. Could you kindly help me check this?
Please help ASAP.
CAF number:
Facilitator Code:
Depository:
DP Name:
DP Id:
Beneficiary A/C no:
CAF number isn’t supposed to be mandatory now since there are no physical rights composite application forms. If the bank hasn’t removed it from their portal, you can enter any dummy number (For e.g.your PAN). Please reach out to your bank for making the required changes on their portal. Some banks have already grey-ed out this field.
Source – Rights Issues and Rights Entitlements (RE) – FAQs
demat details – What are DP name, DP ID, BO ID and demat ID?
You can apply for any number of shares, irrespective of the REs you hold. However, the allotment will be guaranteed only to the extent of REs held. For remaining shares, the allotment will be done on lottery basis and if you don’t get the allotment, amount will be refund.
If you need guaranteed allotment, then you will need to buy additional shares.
This is up to you. You should do what you think is best.