Question

refers to the process of offering shares of a private corporation to the public in a new stock issuance. Public share issuance allows a company to raise capital from public investors.

A Offer for sale Correct Answer Incorrect Answer
B Disinvestment Correct Answer Incorrect Answer
C Strategic Sale Correct Answer Incorrect Answer
D Merger Correct Answer Incorrect Answer
E None of the above Correct Answer Incorrect Answer

Solution

Initial public offering (IPO) refers to the process of offering shares of a private corporation to the public in a new stock issuance. Public share issuance allows a company to raise capital from public investors. IPO turns a privately owned company into a Public company.

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