Pinder Ltd currently has 20 million shares outstanding that are trading at $12 per share. Pinder Ltd wants to raise $4 million for a new investment and announces a 1-for-10 rights issue with a subscription price of $2 per share. What should be the share price of Pinder Ltd once it begins trading ex-rights? Round to the nearest two digits.

Group of answer choices

A) $12.98

B) $11.09

C) $13.92

D) None of the other answers are correct.

E) $12.03