subscription ratio

Subscription Ratio

In a rights offering, the number of rights required to buy a share in a publicly-traded company. A rights offering allows current shareholders to buy more shares, especially of a new issue, at a discount from their market value. The subscription ratio describes the number of shares one must currently hold in order to effectively receive a free share.

subscription ratio

The number of rights required to purchase a single share of a security in a rights offering.
References in periodicals archive ?
Under this issue, shareholders in Collector have preferential right to subscribe for one new share per 10 existing shares, one a subscription ratio of 1:10.
Tunisian investors believe that IPOs with low subscription ratio are overvalued.
Prime Office AG will publish the number of new shares that will be issued for the cash capital raise as well as the subscription ratio on 28 January.
Third, by comparing post-SEO performance rights issues cross-sectionally based on subscription ratio; if managers time SEOs, we should see a more pronounced underperformance for issues with a high subscription ratio.
3m new shares to its existing shareholders at a subscription ratio of 37:10, at a price of EUR3 each.
Judging from the progress of subscription, among the on-going large-scale H share public offering projects, New China Life Insurance boasts the highest subscription ratio of lock-up cornerstone investors during its share offering in HongKong, which is more than 50%.
5m shares with a subscription ratio of ten-to-three, seeking gross proceeds of up to EUR24.
7 mln shares in its rights offering were subscribed for at 2 euros each, giving a subscription ratio of 95.
Shareholders were granted a one-for-two subscription ratio.
64 times of subscription ratio which led CDB to float an additional CNY20bn.
The subscription ratio is 2:15, which means the rights offering to existing shareholders will be in the ratio of two new shares per 15 existing shares.
But the subscription ratio for microcellular personal handy-phone system (PHS) services dropped to 13.