How do companies raise capital by issuing new stock? For example, Wells Fargo plans on paying for Wachovia by raising capital by issuing new stock. How do they just do this? Doesn't this devalue the stock and dividends of current owners since the company is split more? Who is doing the "issuing" and where are the shares sold coming from?
virtualgeezer Registered Member Replied 1204 Days ago
Great question, shame no one has answered!! I'd really like to know the answer to this too!
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