What Is FPO (Follow-On Public Offer)? Author: @nkit When a company is already listed on the stock market and decides to raise more money from public investors again, it issues something called a Follow-On Public Offer , or FPO for short. An FPO is similar to an IPO (Initial Public Offering), but instead of the company going public for the first time, it is offering additional shares after its initial listing. This guide explains FPOs in simple terms so beginners can understand what they are, why companies use them, and what investors should consider before applying. How an FPO Works When a company wants to raise additional funds after being listed, it announces an FPO. This means the company will issue new shares or offer existing shares to the public at a set price or price band. Investors can then apply for these shares during the FPO subscription period using their brokerage or bank platform. Why Companies Issue FPOs Companies may choose ...

What Is Rights Issue in the Stock Market Author: @nkit A rights issue is a way for companies to raise money by offering existing shareholders the chance to buy additional shares at a special price. It is called a “rights issue” because shareholders are given special rights to purchase new shares before the company offers them to the public. Understanding rights issues can help investors decide whether it’s a good opportunity or one they want to avoid, based on their goals and risk appetite. How a Rights Issue Works When a company needs funds for growth, expansion, debt repayment, or other purposes, it may choose to issue new shares. Instead of offering them to anyone, the company gives existing shareholders the *right* to buy these new shares at a discount to the current market price. These rights are usually offered in proportion to the number of shares you already own. For example: If you own 100 shares and the rights issue is 1:2, you hav...