Adjustment of Futures & Options contracts in IDFC Limited

IDFC Limited (IDFC) has declared to the Exchange the issuance and allotment of 155 equity share for every 100 equity shares of IDFC Limited held by existing shareholders. The record date to determine shareholders who will be applicable for this is 10 October 2024.

Due to this corporate action, keep in mind the following impact on your F&O contracts

– All existing contracts in the underlying IDFC with expiry dates 31 Oct, 28 Nov, and 26 Dec shall expire on 9 Oct 2024 and shall be physically settled as per the Exchange rules
– To take physical delivery of shares for your IDFC position (or to cover a short position), you need to maintain the full value of the contract.
– No fresh position will be allowed under the F&O segment in IDFC from 8 Oct 2024
– All positions in the existing futures and options contracts on the underlying IDFC shall cease to exist according to the final settlement on 9 Oct 2024
– IDFC positions with insufficient fund value or stock (in case of a short position) will be squared off anytime after 10 AM on 9 October 2024 on a best-effort basis
– Collateral Margins (Margin Pledge) on IDFC will be subject to a 100% haircut value from 7 Oct 2024, onwards
– All MTF positions in IDFC will be either squared off or converted to delivery, based on the availability of funds on 9 Oct 2024

You can also refer to the circular here: Equity, F&O