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FREE NAIJA SONG LYRICS
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ekeson1st
Publisher
First and foremost, what is a Rights Issue? A
Rights Issue is an offer to existing shareholders
to purchase additional shares in a company
during the company’s issue of new shares to
raise additional capital.
So the company will publish a notice of the
Rights Issue in at least two (2) national daily
newspapers. Also, the company’s registrar will
send a copy of the SEC (Securities and
Exchange Commission) approved Rights
circular to all existing shareholders, informing
them of the Rights offer not less than twenty
one (21) days before the opening of the Rights
offer.
The company issuing the new shares usually
ask its shareholders to subscribe to the shares
usually made in proportion to their existing
holdings; allowing them to buy the newly
issued shares at a fixed price, usually at a
discount to the market value of the shares being
traded at the Nigerian Stock Exchange, NSE ,
within a specific subscription period.
A Rights issue is therefore one of the ways by
which a listed company can raise funds from its
existing shareholders. If an existing shareholder
does not want to partake in the Rights Issue,
the person can either ignore or sell the shares
on the floor of the Exchange to either an
existing shareholder or new shareholder through
the engagement of a stockbroker.


ekeson1st:
First and foremost, what is a Rights Issue? A
Rights Issue is an offer to existing shareholders
to purchase additional shares in a company
during the company’s issue of new shares to
raise additional capital.
So the company will publish a notice of the
Rights Issue in at least two (2) national daily
newspapers. Also, the company’s registrar will
send a copy of the SEC (Securities and
Exchange Commission) approved Rights
circular to all existing shareholders, informing
them of the Rights offer not less than twenty
one (21) days before the opening of the Rights
offer.
The company issuing the new shares usually
ask its shareholders to subscribe to the shares
usually made in proportion to their existing
holdings; allowing them to buy the newly
issued shares at a fixed price, usually at a
discount to the market value of the shares being
traded at the Nigerian Stock Exchange, NSE ,
within a specific subscription period.
A Rights issue is therefore one of the ways by
which a listed company can raise funds from its
existing shareholders. If an existing shareholder
does not want to partake in the Rights Issue,
the person can either ignore or sell the shares
on the floor of the Exchange to either an
existing shareholder or new shareholder through
the engagement of a stockbroker.
LW

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