Seasoned equity offerings / Investing insights

[@emmanuelbening1400]

Please can you elaborate more on the different between secondary offerings and seasoned equity offering

[@initialreturn]

Sure. A secondary offering is a type of seasoned equity offering whereby the shares are sold by existing shareholders. This means the company doesn't raise any proceeds from such an issue, and all the proceeds go to those shareholders who sold shares. Hope this helps!

[@emmanuelbening1400]

@@initialreturn so if may get the point right, SEO is where the existing shareholders issue their share to the public and the proceeds go the company whiles the secondary offering, the proceeds goes shareholders who issue their shares

[@initialreturn]

Not quite. Basically, an SEO can feature new shares issued by the company AND/OR existing shares sold by current shareholders. If it's existing shares ONLY, such an SEO is known as a secondary offering.

[@emmanuelbening1400]

@@initialreturn perfectly understood sir.. Thank you You have really helped me in my academics and work life