One of my students has a Master's degree but was offered admission to another Master's programme. What could be reason? One of my former undergraduate students (overseas student), whom I still have contact with, has got a Master's degree from a very, very prestigious US university.
That student recently applied to a lower ranking US university for a PhD program. They send a rejection for the PhD program but offered an admission into their Master's program instead (almost the same field).
What could be reasonable motivation for such an offer? I suspect they didn't read my student's application properly, or it's just rejection that comes with a generic just-in-case offer of paying tuition fees?
Master's programs often charge tuition and they are often profitable.  It is quite possible finances were a factor.
Some universities are greatly reducing PhD admissions owing to lack of money or delays to the graduation of current students because work was disrupted by the pandemic.