City Union Bank

cub will move on Monday faster than Cheeta

Posted by : Hi Mumbaiyatee
Price when posted : BSE: Rs 29.05 ( 6.02 % ), NSE: Rs. 28.85 ( 5.68 % )

Note the following reason and buy without fail.

1. City Union Bank has approx 180 branches Plus in India.

2. Existing profit making and dividend paying bank and paid Dividend for FY 2009 75%.

3. L & T has stake in CUB at a price of Rs 18.75 since 2007.

4. It was targeted by many corporates including Hindujas, Reliance and L & T for the heafty premium.

5. Now rights issue Record Date 13th November - Rights Ratio 25 shares for every 100 shares held at Rs.6/- per share.

6. On account of premium charged by the bank Reserves of the bank will go up and Book value will go up.

7. It is almost free 25 shares for every 100 shres -shareholder.

8. Cub securities is also one of broking company under arm of City Union Bank.

9. When only broking company shares are quoting Inida infoline Rs 158/-(FV Rs.1) and IB Sec Rs 39/- (FV Rs 2)
GeojitRs. 42 (FV Rs1) why CUB will not shoot?

10. CUB having lowest paid up capital among pvt banks i.e. Rs 40 crs (Rs 32 crs plus Rs 8 crs) post this rights issue and Book value Rs 21/-

11. It has to trade Rs. 40/- cum rights hence it is moving up....

Click if offensive Rate Reply...

25% Rights @ Rs 6 only

Posted by : ar_akm
Price when posted : BSE: Rs 29.05 ( 6.02 % ), NSE: Rs. 28.85 ( 5.68 % )

Hi smartakka, What do you mean by "25% Rights @ Rs 6 only" Thanks for views!...

25% Rights @ Rs 6 only

Posted by : smartakka
Price when posted : BSE: Rs 29.05 ( 6.02 % ), NSE: Rs. 28.85 ( 5.68 % )

Yes it is a good long term buy and if you want to buy you must buy it before 13th...

Cub will move up faster than Cheeta

Posted by : Hi Mumbaiyatee
Price when posted : BSE: Rs 29.05 ( 6.02 % ), NSE: Rs. 28.85 ( 5.68 % )

Note the following reason and buy without fail.

1. City Union Bank has approx 180 branches Plus in India.

2. Existing profit making and dividend paying bank and paid Dividend for FY 2009 75%.

3. L & T has stake in CUB at a price of Rs 18.75 since 2007.

4. It was targeted by many corporates including Hindujas, Reliance and L & T for the heafty premium.

5. Now rights issue Record Date 13th November - Rights Ratio 25 shares for every 100 shares held at Rs.6/- per share.

6. On account of premium charged by the bank Reserves of the bank will go up and Book value will go up.

7. It is almost free 25 shares for every 100 shres -shareholder.

8. Cub securities is also one of broking company under arm of City Union Bank.

9. When only broking company shares are quoting Inida infoline Rs 158/-(FV Rs.1) and IB Sec Rs 39/- (FV Rs 2)
GeojitRs. 42 (FV Rs1) why CUB will not shoot?

10. CUB having lowest paid up capital among pvt banks i.e. Rs 40 crs (Rs 32 crs plus Rs 8 crs) post this rights issue and Book value Rs 21/-

11. It has to trade Rs. 40/- cum rights hence it is moving up....

25% Rights @ Rs 6 only

Posted by : ar_akm
Price when posted : BSE: Rs 29.05 ( 6.02 % ), NSE: Rs. 28.85 ( 5.68 % )

Hi smartakka, Is it proper to enter at present level?
...

25% Rights @ Rs 6 only

Posted by : smartakka
Price when posted : BSE: Rs 28.50 ( 4.01 % ), NSE: Rs. 28.50 ( 4.40 % )

No pl. For four shares held, he will get one right share at Rs 6. If i ti s reverse, capital will shoot up and the share will lose its attraction...

Heading

Posted by : Rraman
Price when posted : BSE: Rs 28.30 ( 3.28 % ), NSE: Rs. 28.25 ( 3.48 % )

can any body inform at what rate this right issue of shares are offerred by the company - premium at face value...

25% Rights @ Rs 6 only

Posted by : Rraman
Price when posted : BSE: Rs 28.15 ( 2.74 % ), NSE: Rs. 28.40 ( 4.03 % )

Please note that the new price will not reflect at Rs50 as mentioned above it will reflect only at Rs75 because this is not bonus 1:1

More over all will depend upon the market condition from time to time...

city union bank rights

Posted by : Guest
Price when posted : BSE: Rs 27.40 ( 1.86 % ), NSE: Rs. 27.30 ( 1.11 % )

i feel a good buy for a long term with attractive rights...

25% Rights @ Rs 6 only

Posted by : T-L
Price when posted : BSE: Rs 27.40 ( 1.86 % ), NSE: Rs. 27.75 ( 2.78 % )

.....and the avg price could look much better if you get apply and get alloted more shares at 6 per share...

25% Rights @ Rs 6 only

Posted by : ganpa
Price when posted : BSE: Rs 27.70 ( 2.97 % ), NSE: Rs. 27.75 ( 2.78 % )

smart kakka ! you are complicating further.

On purchasing CUB at Rs.27/ before 12 Nov , he will get four shares at Rs.6/- So the cost of acquisition goes to Rs.51/ for five shares . One share will cost him Rs.10.25 or little less than Rs.11.00 per share....

25% Rights @ Rs 6 only

Posted by : smartakka
Price when posted : BSE: Rs 27.00 ( 0.37 % ), NSE: Rs. 27.00 ( 0.00 % )

I do not know why all complications. 4 shares at the resent price of Rs 27 =104 plus right @Rs 5 =109 for 5 shares; so each share is supposed to quote at Rs 21.80. However unless there is fear of income not increasing, the share price will continue at Rs 26, 27 or even more based on the market and other factors like bankk expanding or being supported by FII...

25% Rights @ Rs 6 only

Posted by : nitin6570
Price when posted : BSE: Rs 26.75 ( -0.56 % ), NSE: Rs. 26.80 ( -0.74 % )

this article says ....
------------------------------------------
An investor: Mr. A had 100 shares of company X at a face value of Rs 10 per share and a total investment of Rs 10,000, assuming he purchased the shares at Rs 100 per share.

Assuming a 1:1 rights issue at an offer price of Rs 50, Mr. A will have the option to subscribe to additional 100 shares of the company at the offer price. Now, if he exercises his option, he would have to pay an additional Rs 5,000 in order to acquire the shares, thus effectively bringing his average cost of acquisition for the 200 shares to Rs 75 per share.

However, since the price on the stock markets would reflect the new price (Rs 50), the investor is actually at a loss of Rs 5,000 (200 shares x Rs 25 per share).

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but i dont think that its final price will get adjusted to the offer price of right issue ....

some expert plz comment immediately ...
according to this final price of cityunion will get adjusted to rs6 aprox....dont think its right ...

plz help urgent ...

how to apply for rights issue

Posted by : ganpa
Price when posted : BSE: Rs 26.90 ( 4.06 % ), NSE: Rs. 27.00 ( 4.65 % )

Alongwith cheque...

how to apply for rights issue

Posted by : divakarank
Price when posted : BSE: Rs 26.90 ( 4.06 % ), NSE: Rs. 27.00 ( 4.65 % )

See my reply to the other gentleman. If you have a demat account you can ask them the details. If you have the shares with you physically, you will be intimated well in advance by the company about the rights issue. This is upto my knowledge....