How much could Metrix raise by way of the rights issue? In setting the price of the rights issue what are the risks to Metrix given the current economic and financial markets turmoil? 2. Can you explain what a reinvestment plan is? 3. Can the rights issue be to the three significant shareholders or to all shareholders? 4. Li has heard of crowd sourced funding. Would this be easier and better for Metrix to raise the money? 5. What are the issues for the directors in respect of borrowing the funds form the Bank?

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The amount Metrix could raise through a rights issue depends on several factors such as the number of shares offered the subscription price per share and the level of interest from existing shareholde... View the full answer