Share Dilution
Definition
Share Dilution occurs when a company issues new shares, reducing the ownership percentage of existing shareholders. This often happens during new funding rounds, acquisitions, or when options and warrants are exercised.
Benefits
Share dilution happens when a company issues new shares, reducing the ownership percentage of existing shareholders.
Frequently Asked Questions
What is the share dilution? Share dilution happens when new shares are issued, decreasing the ownership percentage of existing shareholders.
What is a dilution in business terms? Dilution is when a shareholder’s ownership percentage in a company decreases because new shares are issued.
What is a dilution of percentage ownership? Dilution happens when a company issues new shares, which decreases the percentage ownership of existing shareholders.
Summary
Share dilution occurs when new shares are issued, reducing the ownership percentage of existing shareholders.