News & Press

Rights Offering

Written by admin | Jun 30, 2017 10:35:53 AM

At The Edge, we are the investment research provider you can trust for insightful market intelligence and analysis of rights offerings. We have a dedicated research team that will provide insightful findings through our monthly extensive advisory reports. When you work with us for your investment research needs, you easily gain a competitive advantage and capitalize on a higher ROI.

The Edge | What Is Rights Offering?

Rights offering is the process of issuing rights to a company’s existing shareholders. These rights entitle the shareholders to purchase additional shares from the company without needing a middleman. However, the shares have to be purchased in proportion to their current holdings and within a certain period of time. One good thing about purchasing additional shares during a rights offering is that you can buy them at a discounted rate and not the actual market price. As the rights are also transferable, the holder will be able to sell them in the open market.

There are several reasons why companies choose to offer rights. For instance, they may need to raise money to acquire another company, purchase or upgrade their equipment, or pay off existing debts. If they raise money through a rights offering procedure, they can bypass underwriting fees as well. In the past, economic slowdowns have also caused many companies to utilize rights offering as a means to raise money. During these times, it is difficult to find banks that are willing to lend money to companies.

The Edge | Why You Need Actionable Intelligence About Rights Offering

For starters, you will be kept abreast of a broad variety of issues, which include:

  • How the rights offering processes are being handled
  • Information about broker dealer and selling group’s participation
  • Effect of rights pertaining to new rightsholders, shareholders, and shareholders of record
  • Effect of rights on the value of current shares
  • How trading prices and value of rights of subscription rights compare to each other
  • The number of new shares that are going to be sold
  • The subscription price of each new share
  • The possibility of over‐subscription privilege in right issues

The Edge | Why Choose Us for Rights Offering Research & Analysis?

We are an industry-leading provider of real-time commentary, news, and analysis on issues surrounding rights offerings. We have been in the business since 2005 and have over a decade’s worth of experience in what we do. At The Edge, we operate both in the United States and United Kingdom. That’s why we are able to cover a lot of ground when it comes to discovering investment opportunities.

As The Edge’s client, you get to enjoy unparalleled insights in the area of rights offerings. With our timely market analytics, this ensures that you make better business and investment decisions in the long term. What’s more, our team of analysts comprises of highly reputed specialists in their specific niches.

If you are looking for a reliable investment research provider to help you gain actionable rights offering insights, contact The Edge