Rights Offering

Rights Offering is a security giving stockholders the right to purchase new shares issued by the corporation at a predetermined price. 

Rights Offering

Rights Offering is a security giving stockholders the right to purchase new shares issued by the corporation at a predetermined price. 

 

Explanation of Rights Offering

Rights Offering is a security giving stockholders the right to purchase new shares issued by the corporation at a predetermined price (normally less than the current market price) in proportion to the number of shares already owned. Rights are issued only for a short period of time, after which they expire.

 

Related Terms