If an investor has holdings in dematerialised form will the bonus/ rights issue against this be in the same form?

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If an investor has holdings in dematerialised form will the bonus/ rights issue against this be in the same form?

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A. The bonus/rights issue against holding in dematerialized form can be either in the physical/dematerialised form as per the choice of the investor. If no choice is given, then by default the securities will be issued in the form they are currently held. Thus if a shareholder holds some shares in physical form and some others in demat, then bonus/rights shares will be received in both the forms in proportion to the holdings in each form.

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The bonus/rights issue against holding in dematerialized form can be either in the physical/dematerialised form as per the choice of the investor. If no choice is given, then by default the securities will be issued in the form they are currently held. Thus if a shareholder holds some shares in physical form and some others in demat, then bonus/rights shares will be received in both the forms in proportion to the holdings in each form.

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