Exchange Rate Mechanism and Rights issue: Difference between pages

From ACT Wiki
(Difference between pages)
Jump to navigationJump to search
imported>Doug Williamson
(Update to past tense.)
 
imported>Doug Williamson
(Classify page.)
 
Line 1: Line 1:
(ERM).
A process of issuing new equity shares where they are offered first to existing shareholders in proportion to their existing shareholding.  


# A historical system under the former European Monetary System for stabilising exchange rates between participating member states.
Existing shareholders have, under law in the UK, pre-emption rights.
# A former similar transitional system for European member states working towards adoption of the euro to replace their domestic currency.
 
This means that they generally have first refusal on the purchase of any new equity shares.




== See also ==
== See also ==
* [[European Monetary System]]
* [[Bonus issue]]
* [[International Monetary Fund]]
* [[Dividend irrelevancy theory]]
* [[Headroom]]
* [[Initial public offering]]
* [[Nil paid]]
* [[Option premium]]
*[[Placing]]
* [[Pre-emption rights]]
* [[Theoretical ex-rights price]]
* [[Trombone]]
 
[[Category:Accounting,_tax_and_regulation]]
[[Category:The_business_context]]
[[Category:Corporate_finance]]
[[Category:Investment]]
[[Category:Long_term_funding]]
[[Category:Financial_products_and_markets]]

Revision as of 06:53, 23 August 2019

A process of issuing new equity shares where they are offered first to existing shareholders in proportion to their existing shareholding.

Existing shareholders have, under law in the UK, pre-emption rights.

This means that they generally have first refusal on the purchase of any new equity shares.


See also