What is the purpose of a right issue in the cap... - SS3 Commerce Capital market; method of raising fund, offer for sale, offer/subscription, right issue, private placement. Question
What is the purpose of a right issue in the capital market?
A
To raise additional capital from existing shareholders
B
To sell new securities to the public
C
To issue bonds to institutional investors
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Correct Option: A
To raise additional capital from existing shareholders
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