Feature of stock which allows stock holders to buy shares at price below than market price is called

A shares offering
B price offering
C rights offering
D stock offering

Correct Answer: rights offering

Feature of stock which allows stock holders to buy shares at price below than market price is called rights offering. A rights offering (rights issue) is a group of rights offered to existing shareholders to purchase additional stock shares, known as subscription warrants, in proportion to their existing holdings.

Related Questions

A company declares a 40% stock dividend when there are 4.0 million common shares outstanding with a Tk.1 per value. Their current market price is Tk. 20 per share. Which of the following will be the effect of the stock dividend ?

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