EPS: Rights issues, Options and Warrants | IAS 33 Earnings per Share

Definitions of Rights issues, Options and Warrants

A rights issue is where a company offers existing shareholders a chance to buy new shares in the company at below market rates at a future date.

They’re usually offered to shareholders in proportion to their existing shareholdings.

Options and warrants are similar in the sense that people, often employees can get the opportunity to buy shares at below their market rate.

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