Kapitaljusteringer

Kapitaljusteringer, or capital adjustments, refer to changes made to a company's equity capital. These adjustments can occur for various reasons and have different implications for the company's financial structure and its shareholders.

One common type of capital adjustment is a share split. In a share split, a company increases the number of its outstanding shares by dividing each existing share into multiple shares. For instance, a 2-for-1 stock split means that for every share an investor owns, they will receive an additional share. This action reduces the per-share price while keeping the total market capitalization unchanged. Companies often undertake stock splits to make their shares more affordable and accessible to a wider range of investors.

Conversely, a reverse stock split, also known as a stock consolidation, is the opposite of a share split. Here, a company reduces the number of its outstanding shares, which in turn increases the per-share price. This is often done by companies whose stock price has fallen significantly, potentially to avoid delisting from an exchange or to appear more attractive to institutional investors.

Another form of capital adjustment is a rights issue, where existing shareholders are offered the right to purchase additional shares in the company, usually at a discounted price, in proportion to their current holdings. This is a way for companies to raise capital without taking on debt.

Finally, share buybacks, or stock repurchases, involve a company buying back its own shares from the open market. This reduces the number of outstanding shares, which can increase earnings per share and potentially boost the stock price. Companies may conduct buybacks if they believe their stock is undervalued or if they have excess cash.