Can rights issue be oversubscribed?

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The rights issue can be oversubscribed when people apply for additional rights shares over and above their entitlements.

Only the eligible shareholders exercising their rights in full can apply for additional shares above their entitlements. A renouncee cannot apply for additional shares above their entitlements purchased from the stock market or off-market transfer.

Topic: Rights Issue of shares - Definition, Benefits, Eligibility and Prices Article

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