Varunica Ltd., a reputed truck manufacturing company, needs rupees twenty crores as additional capital to expand its business. Mr. Alind jindal, the CEO of the company, wants to raise funds through equity. The finance Manager, Mr. Nikhil Sachdeva, suggests that the existing sharesholders be offered the privilage to subscribe to new issue of shares as per the terms and conditions of the company which was agreed by Mr. Alind Jindal.
Name the method through which the company decided to raise additional capital.