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Management · Q594

International Finance and Treasury

Graduate and Post Graduate · Management · question 594

Q594

Feature of stock which allows stock holders to buy shares at price below than market price is called

A.
shares offering
B.
price offering
C.
rights offering
Answer
D.
stock offering

Answer: Option C

Solution

Answer: Option C
Solution:
Feature of stock which allows stock holders to buy shares at price below than market price is called rights offering. A rights offering (rights issue) is a group of rights offered to existing shareholders to purchase additional stock shares, known as subscription warrants, in proportion to their existing holdings.