When a public company is selling new shares at the market, will the public know it?
I have asked a question What shares are actually being sold in “ATM” format release? - From the answer, I understand that a company could be able to sell new shares to gain more money for its operation.
But when will the public be notified?
Let's still take the $HMNY company for instance. It's been jumping lower for days. Does that mean the company has already (secretly) selling new shares ATM? Is that legal? How does the ATM offering actually work?
Thanks,
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But when will the public be notified?
"Never".
A company can only create shares like that with the permission of the shareholders and under a plan the board has approoved. Those information is public when made.
From then on, the management will follow this and just sell on the market as it sees fit.
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