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CP plc

This topic has 1 reply, 2 voices, and was last updated 9 years ago by John Moffat.

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May 29, 2015 at 3:42 pm #250268
Kamila
Member
- Topics: 16
- Replies: 10
The share price of CP plc is $4 per share.
They announce a 1 for 5 rights issue at $3.10 per share.
What % of the rights offered to a shareholder does the shareholder need to take up so as to have no net cash flow resulting from the issue?
Could you please explain how to solve this
May 29, 2015 at 4:00 pm #250282
John Moffat
Keymaster
- Topics: 57
- Replies: 54655
You must watch the free lecture on rights issues (it is part of the sources of finance – equity lectures) where I explain how to deal with this.
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