Financial Times FT.com

Signs of investor fatigue with rights issues

By Miles Johnson in London

Published: August 12 2009 23:29 | Last updated: August 12 2009 23:29

Signs of investor fatigue with rights issues are emerging even as markets brace for a further wave of cash calls, with recent equity raisings by European companies underperforming deals from earlier in the year.

The stock performance of big equity issuers after April has lagged behind the stellar gains of shares in companies that launched rescue rights issues in the first quarter, new research by analysts at UBS’s special situations group shows.

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