Hello SS,
Additional shares do not dilute your holding because in return the company receives fund. Only form of dilution is the discount. Now if they number of shares increase by 15%, and they receive a discount of 17.5% the net dilutive effect is .15*.175 = 2.63%.
Now is there anything else you would like to teach? Next time we can go through A = L+E if you wish? That is fundamentally where you are getting dilution wrong.
is the pressure cooker about to explode?, page-32
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