How it works
Ex-rights price = (cum-rights close + rights ratio × issue price) ÷ (1 + rights ratio + bonus ratio). With only a bonus issue it is close ÷ (1 + bonus ratio).
Ex-rights date
The ex-rights date is the business day before the record date. With T+2 settlement you must buy by the day before the ex-rights date.
When both happen together
If a company announces a rights issue and a bonus issue at once, enter both ratios. Rights shares are paid for, so the issue price enters the formula; bonus shares bring no cash in, so they only add share count. For the same ratio, the bonus issue pulls the reference price down further.
When the new shares arrive
Only the price adjusts on the ex-rights date. Bonus shares are usually listed two to three weeks after the record date, and rights shares take about a month through subscription and payment. In between, the account shows the adjusted price without the extra shares.
What to keep in mind
A bonus issue adds shares without adding value, so the price adjusts down. Fractional entitlements are paid out in cash rather than shares. The market price after the ex-date still moves with demand.