What does rights issue mean?

Definitions for rights issue
right·s is·sue

This dictionary definitions page includes all the possible meanings, example usage and translations of the word rights issue.

Princeton's WordNet

  1. rights offering, rights issuenoun

    an offering of common stock to existing shareholders who hold subscription rights or pre-emptive rights that entitle them to buy newly issued shares at a discount from the price at which they will be offered to the public later

    "the investment banker who handles a rights offering usually agrees to buy any shares not bought by shareholders"

Wikipedia

  1. Rights issue

    A rights issue or rights offer is a dividend of subscription rights to buy additional securities in a company made to the company's existing security holders. When the rights are for equity securities, such as shares, in a public company, it can be a non-dilutive pro rata way to raise capital. Rights issues are typically sold via a prospectus or prospectus supplement. With the issued rights, existing security-holders have the privilege to buy a specified number of new securities from the issuer at a specified price within a subscription period. In a public company, a rights issue is a form of public offering (different from most other types of public offering, where shares are issued to the general public). Rights issues may be particularly useful for all publicly traded companies as opposed to other more dilutive financing options. As equity issues are generally preferable to debt issues from the company's viewpoint, companies usually opt for a rights issue in order to minimize dilution and maximize the useful life of tax loss carryforwards. Since in a rights offering there is no change of control and a "no-sale theory" applies, companies are able to preserve tax loss carry-forwards better than via either follow-on offerings or other more dilutive financings. It's one of the types in modes of issue of securities both in public and private companies.

ChatGPT

  1. rights issue

    A rights issue is a method by which publicly traded companies raise additional capital from existing shareholders. The company offers additional shares to existing shareholders at a discounted price, usually in proportion to the number of shares they already own. The shareholders then have the "right" to purchase the additional shares within a set time frame. This allows the company to raise money quickly without incurring additional debt.

Wikidata

  1. Rights issue

    A rights issue is an issue of rights to buy additional securities in a company made to the company's existing security holders. When the rights are for equity securities, such as shares, in a public company, it is a way to raise capital under a seasoned equity offering. Rights issues are sometimes carried out as a shelf offering. With the issued rights, existing security-holders have the privilege to buy a specified number of new securities from the firm at a specified price within a specified time. In a public company, a rights issue is a form of public offering. Rights issues may be particularly useful for Closed-End Companies, which cannot retain earnings, because they distribute essentially all of their realized income and capital gains each year; therefore, they raise additional capital through rights offerings. As equity issues are generally preferable to debt issues from the company's viewpoint, companies usually opt for a rights issue when they have problems raising equity capital from the general public and choose to ask their existing shareholders to buy more shares.

Matched Categories

How to pronounce rights issue?

How to say rights issue in sign language?

Numerology

  1. Chaldean Numerology

    The numerical value of rights issue in Chaldean Numerology is: 9

  2. Pythagorean Numerology

    The numerical value of rights issue in Pythagorean Numerology is: 1

Examples of rights issue in a Sentence

  1. Manhattan District Attorney Cyrus Vance:

    Tackling the national rape kit backlog means addressing a women's and human rights issue that has been ignored for far too long. We are refusing to accept that some criminal justice problems are just too big – too ingrained, too controversial, too expensive – to solve.

  2. Teguh Putra Hartanto:

    If these rights issue and capital injection do roll out, loan growth should be accelerated. Jokowi will need this loan growth to support his GDP growth target of 7 percent.

  3. Riki Wilchins:

    You want to wish Bruce the best. But at the same time, you wish it wasn't being played out for reality-TV entertainment, yes, it's great that we're educating people. But we're talking about a civil rights issue that keeps getting recast as entertainment.

  4. Barbara Comstock:

    Democrat Terry McAuliffe went bigger at the issue -- and Democrat Terry McAuliffe was very active in Democrat Terry McAuliffe own kids' schools -- so I think the whole opportunity issue was where it really resonated, i hope it will be a sea change, because to me, it's education as a civil rights issue -- and we've all talked about it in those terms. But I think there's a moment here now where it's really resonating with a diverse group of people. The people who don't like this discussion, usually are White, wealthy, liberals and school administrator types who people have kind of had it with.

  5. Sophie Marjanac:

    Climate change is inherently unequal : its impacts -- such as droughts, heatwaves flooding, and rising seas -- are felt most in those countries least responsible. This is clearly a human rights issue, when governments do not take action, litigation will increasingly be used to hold them accountable.

Translation

Find a translation for the rights issue definition in other languages:

Select another language:

  • - Select -
  • 简体中文 (Chinese - Simplified)
  • 繁體中文 (Chinese - Traditional)
  • Español (Spanish)
  • Esperanto (Esperanto)
  • 日本語 (Japanese)
  • Português (Portuguese)
  • Deutsch (German)
  • العربية (Arabic)
  • Français (French)
  • Русский (Russian)
  • ಕನ್ನಡ (Kannada)
  • 한국어 (Korean)
  • עברית (Hebrew)
  • Gaeilge (Irish)
  • Українська (Ukrainian)
  • اردو (Urdu)
  • Magyar (Hungarian)
  • मानक हिन्दी (Hindi)
  • Indonesia (Indonesian)
  • Italiano (Italian)
  • தமிழ் (Tamil)
  • Türkçe (Turkish)
  • తెలుగు (Telugu)
  • ภาษาไทย (Thai)
  • Tiếng Việt (Vietnamese)
  • Čeština (Czech)
  • Polski (Polish)
  • Bahasa Indonesia (Indonesian)
  • Românește (Romanian)
  • Nederlands (Dutch)
  • Ελληνικά (Greek)
  • Latinum (Latin)
  • Svenska (Swedish)
  • Dansk (Danish)
  • Suomi (Finnish)
  • فارسی (Persian)
  • ייִדיש (Yiddish)
  • հայերեն (Armenian)
  • Norsk (Norwegian)
  • English (English)

Word of the Day

Would you like us to send you a FREE new word definition delivered to your inbox daily?

Please enter your email address:


Citation

Use the citation below to add this definition to your bibliography:

Style:MLAChicagoAPA

"rights issue." Definitions.net. STANDS4 LLC, 2024. Web. 27 Apr. 2024. <https://www.definitions.net/definition/rights+issue>.

Discuss these rights issue definitions with the community:

0 Comments

    Are we missing a good definition for rights issue? Don't keep it to yourself...

    Image or illustration of

    rights issue

    Credit »

    Free, no signup required:

    Add to Chrome

    Get instant definitions for any word that hits you anywhere on the web!

    Free, no signup required:

    Add to Firefox

    Get instant definitions for any word that hits you anywhere on the web!

    Browse Definitions.net

    Quiz

    Are you a words master?

    »
    lacking in nutritive value
    A jejune
    B lank
    C bristly
    D bonzer

    Nearby & related entries:

    Alternative searches for rights issue: