Non-Renounceable Right

A right that a corporation may sell to shareholders (but that shareholders may not sell) giving them the ability to buy more shares in that corporation at a discount to market value. Companies usually issue rights in conjunction with new issues of stock, which would dilute current shareholders' holdings if not accompanied by rights or something similar. Non-renounceable rights put shareholders in the position of either taking advantage of the rights or allowing one's shares to be diluted. It specifically precludes the possibility of the shareholder making a profit from the sale of the rights.

单词	non-renounceable right
释义	Non-Renounceable Right Non-Renounceable Right A right that a corporation may sell to shareholders (but that shareholders may not sell) giving them the ability to buy more shares in that corporation at a discount to market value. Companies usually issue rights in conjunction with new issues of stock, which would dilute current shareholders' holdings if not accompanied by rights or something similar. Non-renounceable rights put shareholders in the position of either taking advantage of the rights or allowing one's shares to be diluted. It specifically precludes the possibility of the shareholder making a profit from the sale of the rights.
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