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Pharmagen Ltd is undertaking major research and development and is making a rights issue to raise the required financing. The company has currently 30 million
Pharmagen Ltd is undertaking major research and development and is making a rights issue to raise the required financing. The company has currently 30 million shares in issue. The company needs to raise R42 million. The share price has been trading within a range of R111.00-R15.00 in the last year, but the latest quoted price is R12.00 per share. The subscription price for the rights issue will be R90.00 per share.
What is the expected ex-right price?
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To calculate the expected exrights price we can use the following formula Exrights ...
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Principles of Finance
Authors: Scott Besley, Eugene F. Brigham
6th edition
9781305178045, 1285429648, 1305178041, 978-1285429649
