A public offering of securities which are offered first to current shareholders is called a(n):
A)existing shareholder offer.
B)limited offer.
C)rights offer.
D)venture offer.
E)preference offer.

Question

Quizplus · Accepted Answer

A rights offer is an offering of securities to current shareholders, giving them the right to purchase additional securities at a discounted price before they are offered to the general public. This allows existing shareholders to maintain or increase their ownership in the company while also raising capital for the company.

A Public Offering of Securities Which Are Offered First to Current