A rights issue is a privilege given to existing shareholders to subscribe to a new issue of shares on a pro-rata basis (in proportion to their existing shareholding). This is a pre-emptive right to protect their ownership. Hence, the correct answer is Rights issue.
This is a privilege given to existing stakeholders to subscribe to a new issue of shares on pro-rata basis-
CUET UG 2022 — Business Studies Business Studies
This is a privilege given to existing stakeholders to subscribe to a new issue of shares on pro-rata basis-
Held on 20 Aug 2022 · Verified 13 Jul 2026.
Options
- A
Rights issue
- B
Private placement
- C
Offer for sale
- D
E-IPO'S
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