Tuni Textile Mills rights issue 2026: ₹48.99 cr at Re 1

What the company has announced

Tuni Textile Mills has finalised the key terms of its proposed equity fundraising through a rights issue, setting the issue price at Re 1 per share. The Rights Issue Committee approved the modalities on September 9, 2026, following the Board’s initial approval in March 2026. The company plans to issue 48,98,66,250 fully paid-up equity shares on a rights basis. The aggregate amount for the issue is capped at about ₹48.99 crore, based on the Re 1 issue price. The company has also approved the Letter of Offer for filing with BSE.

This set of disclosures converts what had earlier been described as a proposed ₹49.00 crore rights issue into a dated and priced offer. It also gives shareholders clarity on eligibility, entitlement, and the rights issue timetable.

Issue price and issue size

The rights shares will be offered at Re 1 per Rights Equity Share. The equity shares being issued have a face value of Re 1 each, and they are described as fully paid-up. The total number of rights shares proposed is 48,98,66,250.

At the issue price of Re 1, this translates into an aggregate issue size of about ₹48.99 crore. The company has described the aggregate amount as “not exceeding” this level.

Rights entitlement ratio and eligibility

The Rights Entitlement Ratio has been fixed at 15 rights equity shares for every 4 fully paid-up equity shares held by eligible shareholders. Eligibility will be determined based on shareholding as of the record date.

The record date has been set as Wednesday, September 16, 2026. Shareholders on the register as of this date will be considered for rights entitlement in line with the 15-for-4 ratio.

Key dates: opening, closing and renunciation window

The issue will open on Monday, September 28, 2026 and close on Monday, October 26, 2026. The company has also specified an on-market renunciation period, during which rights can be renounced through the market mechanism.

The on-market renunciation period runs from Monday, September 28, 2026 to Tuesday, October 20, 2026. This timeline effectively places the renunciation window inside the broader subscription period.

Treatment of fractional entitlements and additional shares

Tuni Textile Mills has stated that shareholders holding less than four equity shares, or holdings not in multiples of four, will have their fractional entitlement ignored for the computation of rights entitlement. In other words, fractions arising from the 15-for-4 ratio will not be allotted as fractional rights.

At the same time, the company has outlined a preferential consideration mechanism for small holders. Shareholders with fractional entitlements, and even shareholders with zero entitlement (holding less than four shares), can apply for additional equity shares over and above their rights entitlement. If such shareholders apply for additional shares, they will be given preference for the allotment of one additional equity share, subject to availability.

The company has also clarified that applications made by shareholders with zero entitlement cannot be renounced in favour of third parties.

Regulatory and exchange process: what is confirmed

The company has indicated that the issue is subject to statutory and regulatory approvals. It also disclosed that, as of June 30, 2026, the requisite approvals had not been fully received. However, it obtained an in-principle approval for the rights issue from BSE through a letter dated July 14, 2026.

Following the September 9, 2026 committee decision, the Letter of Offer has been approved for filing with BSE. This is a key procedural step in moving from an internal approval phase to an offer process that shareholders can participate in.

How the final terms came together: committee meeting timeline

The Rights Issue Committee meeting that ultimately approved the terms was held on September 9, 2026. The company’s disclosures show that the meeting date had moved multiple times before the terms were finalised.

The session was originally slated for July 24, 2026, and later postponed to August 6, 2026. Another update stated the meeting was postponed again to August 27, 2026 due to unavoidable circumstances. A separate disclosure also stated that the committee meeting scheduled for August 27, 2026 was cancelled, citing unavoidable exigencies, and that a revised date would be intimated. The latest schedule then placed the meeting on September 9, 2026, when the issue price, entitlement ratio and record date were fixed.

Background: the company’s earlier rights issue in 2025

The disclosures also reference an earlier rights issue timeline in 2025, which was extended and later cancelled after being undersubscribed. That earlier issue carried an entitlement of 81 equity shares for every 25 equity shares held on the record date, with the issue opening on November 24, 2025 and closing on December 23, 2025.

While the current rights issue is a separate fundraising exercise, the prior timeline provides context on the company’s recent use of the rights route and the operational steps involved in such offers.

What it means for shareholders and the stock

For existing shareholders, the key practical points are the record date and the entitlement ratio. Shareholders who hold shares as of September 16, 2026 will be considered eligible to receive rights entitlement based on the 15-for-4 ratio. For investors considering participation, the issue price is Re 1 per share and the offer period spans late September to late October 2026.

The specified on-market renunciation window may be relevant for shareholders who do not want to subscribe and instead plan to renounce their rights during the market period ending October 20, 2026. The company’s guidance on fractional entitlements and the preference for allotment of one additional share for certain small holders also sets expectations for those applying beyond their entitlement.

Key facts table

Conclusion

Tuni Textile Mills has put in place the final structure for its rights issue, including the Re 1 issue price, the 15-for-4 entitlement ratio, and a fixed schedule from September 28 to October 26, 2026. The record date of September 16, 2026 is the key eligibility cut-off for shareholders. The company has also outlined how it will treat fractional entitlements and how certain small holders may get preference for allotment of one additional share if they apply for extra shares, subject to availability. Next procedural steps are expected to follow from the Letter of Offer being approved for filing with BSE and the approach of the issue opening date.