👉 In finance, an "overissuing" refers to a situation where a company is issuing more debt or equity securities than it currently has available. This can result in higher interest payments and potentially dilute the value of existing shareholders.
Overissuing can be justified by several reasons:
1.
Capital Adequacy
: Companies might overissue debt to meet capital requirements or to increase their financial flexibility in case of a downturn.
2.
Market Demand
: In an oversubscribed market,
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What is the definition of Overissuing? 🙋
