| Method | Description | Typical Market | | :--- | :--- | :--- | | | New shares sold to general public via underwriters | U.S., global | | Rights Offering | Existing shareholders get rights to buy new shares at a discount, often below market price, in proportion to their holdings. | Europe, Asia, some U.S. |
The company is already "seasoned" — it has a track record of financial reporting, market trading, and existing shareholders. seasoned equity offerings
are also common: the company sells some new shares, and existing shareholders sell some of theirs. | Method | Description | Typical Market |
Existing shareholders (such as founders, directors, or venture capital firms) sell their private holdings to the public. No new shares are created. The total share count remains unchanged, and the cash proceeds go directly to the selling shareholders, not the company. 2. Mechanisms of Execution are also common: the company sells some new
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