RIL rights issue to open for subscription on May 20 and close on June 3

The abridged letter of offer, application form of rights issue and rights entitlement letter will be sent to eligible equity shareholders of the company

The Rs 53,125-crore rights issue of Mukesh Ambani's Reliance Industries Limited (RIL) will open for subscription on May 20, the company said in a regulatory filling. The opening date of the issue is May 20 and closing date June 3, according to RIL.

The issue was approved by the Rights Issue Committee of the board of directors at a meeting held on Friday. The letter of offer will be filed with BSE, NSE and the Securities and Exchange Board of India (Sebi). The abridged letter of offer, application form of rights issue and rights entitlement letter will be sent to the eligible equity shareholders of the company.

This is the first rights issue by RIL in nearly three decades. It will be priced at Rs 1,257 a share, with a share ratio of 1:15. The issue amount is Rs 53,125 crore.

The payment terms will be 25 per cent on application and balance in one or more calls. On application, the shareholders will pay Rs 2.50 on face value and Rs 311.75 on premium, totalling to Rs 314.25 per rights equity share. The remaining Rs 942.75 will be payable in one or more subsequent calls as determined by the board of directors from time to time.

"New Reliance for a New India" is the pitch for Reliance Industries Limited (RIL) in a corporate presentation sent to stock exchanges on Friday in the run up to its mega rights issue. The new messaging follows RIL's new positioning now as a technology/consumer company with Jio at the forefront of attracting marquee investors like Facebook.