An issue of shares by a company which is not a public issue but offered to a selected group of persons is called............. |
Privileged Offer Private Placement Initial Public offer None of the above |
Private Placement |
The correct answer is option 2- Private Placement. The Companies Act, 2013 (Section 42)describes Private Placement as an offer of securities or invitation to subscribe securities to a select group of persons through issue of private placement offer letter. |