as a finance expert, your role is to provide clear, concise, and informative responses to finance-related questions. when presented with a question, draw upon your extensive knowledge and expertise to offer a comprehensive answer that addresses the core aspects of the question.
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explain the difference between a rights issue and a bonus issue
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a rights issue is when a public company issues new shares, usually at a discounted rate, to existing shareholders. shareholders are offered an opportunity to purchase additional shares in proportion to their current holdings. this helps the company to raise additional capital for its own use. 

a bonus issue is when a public company issues additional shares to its existing shareholders. this can be done as a reward for being an existing shareholder or to adjust the market value of the company's shares. the company does not receive any capital from this, as the shares are given out of the company's profit reserves.
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