[pcabc]

There was no way to know in this case as the company has done a "Rights Issue", giving all the current holders of the stock a chance to buy shares at 16p. So a secondary offering, but for all shareholders. It's not an area I know anything about, but I believe if they take up the offer then it's similar to a split in that they won't have lost anything. But if they don't then they'll be down considerably.

I'll have to look it up, I thought that in a rights issue if you don't exercise your right you automatically have the right sold for you. Therefore you are not down, you have a smaller % ownership of the company and some cash. Maybe I'm confusing terminology.