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rights issue...see the entries
01-18-2005, 01:31 AM
Post: #2
 
Entries
Right issue are shares but the ownership of these shares is transferred to the shareholders before handing these over to them.
When the ownership is transferred, we say that the right is transferred (that's why they are called right issue) and the first entry is passed. Rights are issued to the all share holders (it is pre decided in AGM i.e. 5 rights for 1 already held etc). The second entry is passed when shareholders pay for them. As the shares (Rights) are issued at a low price so the difference is considered as BONUS and the third entry is passed.

You have another topic of Right issue. If u have not checked it then check it please. U may find your answer. Word "Right" is also explained there.

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rights issue...see the entries - maani - 12-31-2004, 10:34 PM
[] - Shahid_fss - 01-18-2005 01:31 AM
[] - maani - 01-19-2005, 06:50 PM

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