What is the difference between a public offering and a rights offering?

A public offering and a rights offering are two types of investments that are available to people in North Carolina. The main difference between the two is the way in which the investor acquires the securities. Public offerings involve the selling of newly issued securities to the public. This type of offering is made available through an initial public offering, a direct placement, or a secondary offering. These offerings allow investors to purchase newly available securities for investment purposes. Rights offerings, on the other hand, involve the selling of already issued securities to specific investors. This type of offering is usually made available to existing shareholders who have held the rights for a designated period. The offering allows the existing shareholders to purchase additional securities of the company at a discounted price. Both public and rights offerings involve the activity of raising capital and creating liquidity in the market. However, rights offerings are usually made to existing shareholders, while public offerings are made to the general public. This distinction is important to understand when making decisions about investments.

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What is the difference between a public offering and a rights offering?

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