21 Jan 2019, 11:00 AM

Adjustment of F&O contracts in KPIT Technologies Ltd

KPIT Technologies Ltd (KPIT) is undergoing a corporate action for allotment of fully paid up equity shares of one fully paid up equity share of Rs 10 each of KPIT Engineering Limited for every 1 equity shares of Rs 2 each held in KPIT Technologies Limited pursuant to the Composite Scheme of Arrangement amongst Birlasoft (India) Limited, KPIT Technologies Limited and KPIT Engineering Limited.

Corporate action Ex-date: January 24, 2019

Contracts with expiry date January 31, 2019, February 28, 2019, and March 28, 2019, will expire on January 23, 2019. The methodology of settlement shall be separately intimated by NSCCL.

1. The expiry date on our trading platform would display the original dates i.e. January 31, 2019, February 28, 2019, and March 28, 2019, however, the contract will be available for trading only till January 23, 2019. On January 23, 2019, you will not be allowed to take fresh positions.

2. On Expiry, F&O contracts of KPIT Ltd are settled through physical delivery. Read our policy on compulsory physical delivery derivative contracts here.

Derivatives contracts on KPIT Ltd shall be introduced again with expiry dates January 31, 2019, February 28, 2019, and March 28, 2019, from January 23, 2019, onwards, it being the ex-date of the underlying. The list of new option strikes will be updated on the same day.

A Pre-open Call Auction Session shall be conducted for KPIT Ltd in the Capital Market segment on January 24, 2019, from 9 AM to 10 AM. This is to determine the opening price of KPIT Ltd based on which a minimum of five in-the-money strikes, one at-the-money strike and five out-of-the-money strikes will be made available to the market. New option strikes will be made available based on the price movement of KPIT Ltd during the trading day.

Refer to the NSE circular on Adjustment of F&O contract here and pre-open call auction session here