Budding Flowers inc. needs to raise $20 million to build new greenhouses. They will issue new shares through a rights offering to their common shareholders. There are 4 million outstanding common shares and one right will be issued per common share. The subscription price is $20 per share and the current market price of their common shares is $25. How many rights are required to acquire 1 new common share: What is the value of a right? $150.5$0.75$1.25 If the stock goes ex-rights, what would the new stock price be? 524 $23 522 $21