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The Epic Interactive Encyclopedia 1998
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Epic Interactive Encyclopedia, The - 1998 Edition (1998)(Epic Marketing).iso
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INFOTEXT
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1992-09-02
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451b
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12 lines
In finance, new shares offered to existing
shareholders to raise new capital.
Shareholders receive a discount on the market
price while the company benefits from not
having the costs of a re-launch of the new
issue. The amount of shares offered depends
on the capital the company needs. In a `one
for one rights issue', a shareholder is
offered one share for each that he already
holds. For companies this is the cheapest way
of raising more capital.