Question
ABC company has a market capitalization of RM500 million and 20 million shares outstanding. In order to finance its growth, the management of ABC plans
ABC company has a market capitalization of RM500 million and 20 million shares outstanding. In order to finance its growth, the management of ABC plans to raise further capital through a rights issue. All shareholders will be issued ten rights to purchase a new share at a price of RM1.00.
What will the price of a share be after the rights issue, if all shareholders exercise their rights?
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Finance Of International Trade
Authors: Eric Bishop
1st Edition
0750659084, 978-0750659086
