Archive · 26 Jul 2025
Inox Wind F&O Contracts to Adjust for Rights Issue
Imagine Inox Wind is offering new shares.
Because of this, the prices of the existing contracts will change.
On July 29, the price and contracts for the company's stock will be updated to reflect the new shares.
The price of the futures contracts will be changed using a specific number.
The number of shares in each contract will also change, and the prices for buying and selling options will be adjusted, too.
Don't worry, these changes shouldn't change the overall view of the stock.
Inox Wind announced a rights issue with an issue price of ₹120 and a ratio of 5:78.
The record/effective date for the adjustments in futures and options (F&O) contracts is July 29.
Futures contracts will be adjusted by dividing the daily settlement price on July 28 by 0.9844, the adjustment factor.
The lot size for futures contracts will be modified from 3,225 to 3,276 shares per contract.
Option strike prices will be multiplied by 0.9844 from July 29.
- Who
- Inox Wind and traders holding futures and options contracts.
- What
- Adjustments to futures and options (F&O) contracts for Inox Wind due to a rights issue.
- When
- The record/effective date for the adjustments is July 29.
- Where
- N/A
- Why
- To reflect the rights issue and maintain fair value of derivatives.
- Company
- Inox Wind
- Rights Issue Date Announced
- July 24
- Issue Price
- ₹120
- Ratio
- 5:78
- Adjustment Factor
- 0.9844
- Record/Effective Date
- July 29
- Lot Size (Current)
- 3,225 shares
- Lot Size (Adjusted)
- 3,276 shares