Question

Identify the correct statements with reference to Red Herring Prospectus.

1. Section 32 of the Companies Act 2013 is related to the Red Herring Prospectus.

2. A company proposing to issue a red herring prospectus shall file it with the Registrar at least three days prior to the opening of the subscription list and the offer.

3. Red herring prospectus means a prospectus which does not include complete particulars of the quantum or price of the securities.

A 1 and 2 only Correct Answer Incorrect Answer
B 1 and 3 only Correct Answer Incorrect Answer
C 2 and 3 only Correct Answer Incorrect Answer
D 1 only Correct Answer Incorrect Answer
E All correct Correct Answer Incorrect Answer

Solution

The correct answer is E

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