Saregama on a high on rights issue

DALAL STREET SPIKES

The Saregama India counter was in the limelight yesterday after the company announced a rights issue at a substantial discount to the market price, market sources said.

The Saregama India counter closed at its intra-day high of Rs 145.20, up 10 per cent, its upper circuit. More than 2.59 lakh shares were traded on the BSE.

Saregama India announced a decision to issue rights shares in the ratio of 4 equity shares of Rs 10 each for every 7 shares of Rs 10 each fully paid up at a premium of Rs 35 per share aggregating approximately Rs 24 crore to the members of the company on a record date to be announced in due course.

The counter had on a earlier date reacted sharply to the company's announcement that it was considering a rights issue, market sources added.