Issue some shares with subscription rights

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Reference no: EM131558928

The company HJK wants to issue some shares with subscription rights. Are the following sentences true or false?

a) With this form of issue, the company is not sure to obtain the funds that it needs to invest.

b) With this form of issue, the company cannot guarantee that none of its investors will suffer from dilution.

c) A shareholder may acquire a higher percentage of shares outstanding if she acquires the rights of other shareholders that do not want to exercise those rights.

Reference no: EM131558928

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