RE:RE:RE:Pretium should issue new sharesLots of companies are financing their growth by offering rights. So when the company announces rights offering it is for the existing shareholders at discount price and for specific time.
Each shareholder usually receives one transferable right for each common share. So if the PVG offers right @ $2 per share to shareholders, and the common share is trading @ $6.15 you have double you’re holding for the total cost of $8.15 (the right will be transfer to one common share).
However, if the shareholders do not wish to exercise their rights to buy new common shares under the offering, will have the option of selling the rights in the market.