Swaraj Mazda to have Rs 80 crore rights issue

Light commercial vehicle maker Swaraj Mazda said that its board had approved a rights issue of worth Rs 80 crore equity shares.
The company’s board approved this in a meeting held on Thursday,  said the company in a statement released to Bombay Stock Exchange.

Rights issues permit a company to issue additional equity shares to the existing shareholders at a discounted rate from the current market price. This helps in not diluting the sakes of the shareholders despite issuing new equity.