Publication Type

Journal Article

Publication Date

10-1988

Abstract

The article discusses issues related to variations in rate of return of stocks under re-capitalization. Share returns are commonly adjusted for re-capitalization by distributing the difference between market and exercise prices over the number of shares. Re-capitalization is said to occur when the total amount of equity capital or number of shares in a firm changes. New issues usually take the form of bonus issues or new paid-up issues called rights issues, which do not change the amount of equity.

Keywords

Corporations, Finance, Recapitalization, rate of return, capital investments

Discipline

Corporate Finance

Research Areas

Finance

Publication

Asia Pacific Journal of Management

Volume

6

Issue

1

First Page

141

Last Page

147

ISSN

0217-4561

Publisher

Springer Verlag (Germany)

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