Regulation 53 - Restriction on rights issue - Securities and Exchange Board of India (Issue of Capital and Disclosure Requirements) Regulations, 2009

Restriction on rights issue. 53. (1) No issuer shall make a rights issue of equity shares 1 [***]unless it has made reservation of equity shares of the same class in favour of the holders of 2 [***] outstanding 3 [compulsorily] convertible debt instruments 4 [,if any,] in proportion to the convertible part thereof. (2) The equity shares 5 [so] reserved for the holders of fully or partially 6 [compulsorily] convertible debt instruments shall be issued at the time of conversion of such convertible debt instruments on the same terms 7 [at] which the equity shares offered in the rights issue were issued. ********** 1 The words and symbol if it has outstanding fully or partly convertible debt instruments at the time of making rights issue, omitted by SEBI (Issue of Capital and Disclosure Requirements) (Second Amendment) Regulations, 2012, w.e.f. 07.02.2012. 2 The word such omitted by SEBI (Issue of Capital and Disclosure Requirements) (Second Amendment) Regulations, 2012, w.e.f. 07.02.2012. 3 Inserted by SEBI (Issue of Capital and Disclosure Requirements) (Second Amendment) Regulations, 2012, w.e.f. 07.02.2012. 4 Inserted by SEBI (Issue of Capital and Disclosure Requirements) (Second Amendment) Regulations, 2012, w.e.f. 07.02.2012. 5 Inserted by SEBI (Issue of Capital and Disclosure Requirements) (Second Amendment) Regulations, 2012, w.e.f. 07.02.2012. 6 Inserted by SEBI (Issue of Capital and Disclosure Requirements) (Second Amendment) Regulations, 2012, w.e.f. 07.02.2012. 7 Substituted for the word on , by SEBI (Issue of Capital and Disclosure Requirements) (Second Amendment) Regulations, 2012, w.e.f. 07.02.2012.