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LYN stock market FAQs & Guide, T+3, Dividends, commissions/fees, etc...
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PikachuPikachu
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Jul 26 2010, 02:10 PM
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Getting Started

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dear friends,
thanks for the informative info..
i would like to ask a bit about right issue.. after i read through the 1st page.. i noticed this..
Choices available to you as a shareholder As stated above, these are the options available:
1) Buy the new shares (rights issue) - Take up your "rights" to buy the new shares 2) Do not take up the offer (also known as allow the rights to lapse) 3) Sell your rights to other investors
Let's say company A giving rights issue, i don't have to buy it but sell it directly??
Another thing is if i allow the rights to lapse, means that i would loss money due to dilution of mother share??
If i am using online trading, how am i gonna buy the right issue??
hope to hear from u guys soon.. TQ!
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PikachuPikachu
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Jul 26 2010, 03:00 PM
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Getting Started

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QUOTE(cherroy @ Jul 26 2010, 02:33 PM) Yes Yes They will send you the right allotment letter/form to you to fill in. QUOTE(smartly @ Jul 26 2010, 02:42 PM) Let's say company A giving rights issue, i don't have to buy it but sell it directly?? You must first have the mother share to entitle the RI. Yes, you can sell it directly once the RI is alloted to you.Another thing is if i allow the rights to lapse, means that i would loss money due to dilution of mother share?? Yes.If i am using online trading, how am i gonna buy the right issue?? Assuming you don't have mother share, then buy straight from the online when RI go listing, then you will receive form to exercise your right.thanks for the prompt reply..!
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