Rights issue: Lull after 3 stormy years, mop-up Rs 2,867 crore in CY22

Mop-up Rs 2,867 cr in CY22, as against Rs 25,335 cr in same period last yr

Equity capital raise via rights issue has seen a sharp deceleration this year due to lack of big-ticket transactions and volatility in the secondary market. So far this calendar year, six companies have raised a cumulative Rs 2,867 crore. This includes the just-concluded rights offering of Suzlon Energy. During the same period last year, eight companies had mopped up Rs 25,335 crore through rights issue and 18 companies had raised a record Rs 64,603 crore in 2020.

In fact, the fundraising through rights issues in the first 10 months of 2022 is the lowest since 2016 during a similar period.