Franklin Industries Rights Issue

Franklin Industries Rights Issue will open for subscription from 24 May 2024. the company aims for an issue size of ₹38.83 Crores through this rights Issue.

About the company

Franklin Industries trades agricultural commodities, including wheat, rice, maize, and vegetables such as capsicum and tomato. The company also trades fruits such as mango, watermelon, and grapes, as well as other agricultural products. Additionally, Franklin Industries engages in contract manufacturing for agricultural products like cucumber, onion, and castor.

The company acquires agricultural products from manufacturers either by making advance payments or following agreed terms. These products are then sold to its network of distributors. Due to its market presence, Franklin Industries has established strong relationships with both farmers and the wholesaler and retailer community.

In contract manufacturing, the company leases agricultural land to grow cucumber, onion, and castor to meet market demand. A portion of the yield is shared with farmers working on a contractual basis on the leased land, which supports the local farming community. As of February 2023, the company has exited the jewelry business, which involved trading gold and silver jewelry.

Objectives of the Issue

  • Working capital requirement;
  • General Corporate Purpose;
  • To meet Issue Expenses.

Franklin Industries Rights Issue Timetable

Last Date to buy shares10 May 2024
Record Date13 May 2024
Credit of Rights Entitlements23 May 2024
Bid/Offer Opens On24 May 2024
Renunciation of Rights Entitlements05 May 2024
Bid/Offer Closes On11 June 2024
Deemed Date of Allotment15 June 2024
Credit Date24 June 2024
Listing Date24 June 2024

Franklin Industries Rights Issue Details

Issue OpenMay 24, 2024 – June 11, 2024
Security NameFranklin Industries Ltd
Issue Size (Shares)108,450,000
Issue Size (Amount)₹38.83 Crores
Issue Price₹3.58 per share
Face Value₹1 per share
Listing AtBSE
Terms of PaymentThe Issue Price of Rs. 3.58/- per Equity Share shall be payable at the time of application.
Entitlement3 Rights Equity Share(s) for every 1 fully paid-up Equity Shares held on Record Date

Company Financials

 FY 2021FY 2022FY 2023
Operating Margin (%)0.550.251.54
Net Income0.040.010.21
ROCE (%)1.300.2670.73
(Amount in ₹ Crore)

Rights Issue Documents

Lead Manager(s)

Rights Issue Registrar

D-153A, First Floor, Okhla Industrial Area,
Phase1, Delhi-110020
Phone: 011-40450193-197

Company Contact Information

301, Signature 01, Nr.Jaguar Showroom,
S.G. Highway, Makarba, Ahmedabad, Gujarat-380015
Phone: 7621806491

Final Thoughts

Applying for the rights issue is purely a personal choice. Make sure you conduct a detailed study of the company and its rights issues before you make an investment decision.

Happy investing

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