Small shareholders can be left worse off when companies raise funds. Here's how to protect them
- Written by Kevin Davis, Emeritus Professor of Finance, The University of Melbourne
TK Kurikawa/ShutterstockAfter the Bank of Queensland agreed to buy ME Bank from Australia’s industry superannuation funds in February, it needed to raise A$1.35 billion quickly.
The way it did it depleted the wealth of quite a few retail shareholders.
Its shares had been trading for $8.41 each. It offered big institutions extra shares for...
