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Direction: Read the following text and answer the questions given below:
ISQAA SOLAR Limited is searching for options to raise ₹ 20,000 crores from the primary market for diversification and modernisation of existing projects. It hired the services of a renowned financial consultancy firm, DHAN LAXMI PVT. LTD. to suggest options for the same. DHAN LAXMI PVT. LTD. suggested a list of options to the Board of Directors of the company. It was decided that for the immediate requirement of ₹ 1,500 crores, the company will give a privilege to existing shareholders to subscribe to a new issue of shares according to the terms and conditions of the company. ₹ 4,500 crores would be raised by allotment of securities to a consortium of financial institutions, instead of inviting subscription from the public by making a direct appeal to investors to raise capital. It was further decided to raise capital to the tune of ₹ 6,000 crores through an issuing house. All these options were accepted by the Board of Directors. The Board further decided to raise ₹ 8,000 crores through the online system of the stock exchange by entering into an agreement with the exchange.
Q. Identify the method of floatation of new issues in the primary market, not taken up by ISQAA SOLAR LTD. :
- a)Offer for sale
- b)Rights issue
- c)E-IPO
- d)Offer through prospectus
Correct answer is option 'D'. Can you explain this answer?
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Most Upvoted Answer
Direction: Read the following text and answer the questions given bel...
Understanding the Options for Floatation of New Issues
ISQAA SOLAR Limited explored various methods for raising ₹ 20,000 crores in the primary market. However, one particular method was not utilized in their strategy.
Methods of Floatation Considered
- Rights Issue: The company opted to raise ₹ 1,500 crores by giving existing shareholders the privilege to subscribe to new shares, which is a classic rights issue.
- Allotment to Financial Institutions: To raise ₹ 4,500 crores, ISQAA SOLAR Ltd. chose to allot securities to a consortium of financial institutions, avoiding a public subscription.
- Issuing House: They decided to raise ₹ 6,000 crores through an issuing house, which is another method of floatation.
- Online Stock Exchange Agreement: The Board planned to raise ₹ 8,000 crores through the online system of the stock exchange, ensuring a more modern approach.
Method Not Taken Up
- Offer through Prospectus: The option of raising funds through a public offer via a prospectus was the method not pursued by ISQAA SOLAR Ltd. This method typically involves inviting the public to subscribe to shares by providing detailed information in a prospectus, which was clearly set aside in favor of other methods.
Conclusion
In summary, while ISQAA SOLAR Ltd. utilized several effective methods for capital raising, the "Offer through Prospectus" was not among them. Instead, they focused on targeted approaches that catered to existing shareholders and institutional investors, reflecting a strategic decision to streamline their fundraising process.
ISQAA SOLAR Limited explored various methods for raising ₹ 20,000 crores in the primary market. However, one particular method was not utilized in their strategy.
Methods of Floatation Considered
- Rights Issue: The company opted to raise ₹ 1,500 crores by giving existing shareholders the privilege to subscribe to new shares, which is a classic rights issue.
- Allotment to Financial Institutions: To raise ₹ 4,500 crores, ISQAA SOLAR Ltd. chose to allot securities to a consortium of financial institutions, avoiding a public subscription.
- Issuing House: They decided to raise ₹ 6,000 crores through an issuing house, which is another method of floatation.
- Online Stock Exchange Agreement: The Board planned to raise ₹ 8,000 crores through the online system of the stock exchange, ensuring a more modern approach.
Method Not Taken Up
- Offer through Prospectus: The option of raising funds through a public offer via a prospectus was the method not pursued by ISQAA SOLAR Ltd. This method typically involves inviting the public to subscribe to shares by providing detailed information in a prospectus, which was clearly set aside in favor of other methods.
Conclusion
In summary, while ISQAA SOLAR Ltd. utilized several effective methods for capital raising, the "Offer through Prospectus" was not among them. Instead, they focused on targeted approaches that catered to existing shareholders and institutional investors, reflecting a strategic decision to streamline their fundraising process.
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Direction: Read the following text and answer the questions given bel...
Offer through prospectus involves inviting subscription from the public through issue of prospectus.
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Direction: Read the following text and answer the questions given below:ISQAA SOLAR Limited is searching for options to raise ₹ 20,000 crores from the primary market for diversification and modernisation of existing projects. It hired the services of a renowned financial consultancy firm, DHAN LAXMI PVT. LTD. to suggest options for the same. DHAN LAXMI PVT. LTD. suggested a list of options to the Board of Directors of the company. It was decided that for the immediate requirement of ₹ 1,500 crores, the company will give a privilege to existing shareholders to subscribe to a new issue of shares according to the terms and conditions of the company. ₹ 4,500 crores would be raised by allotment of securities to a consortium of financial institutions, instead of inviting subscription from the public by making a direct appeal to investors to raise capital. It was further decided to raise capital to the tune of ₹ 6,000 crores through an issuing house. All these options were accepted by the Board of Directors. The Board further decided to raise ₹ 8,000 crores through the online system of the stock exchange by entering into an agreement with the exchange.Q. Identify the method of floatation of new issues in the primary market, not taken up by ISQAA SOLAR LTD. :a)Offer for saleb)Rights issuec)E-IPOd)Offer through prospectusCorrect answer is option 'D'. Can you explain this answer?
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Direction: Read the following text and answer the questions given below:ISQAA SOLAR Limited is searching for options to raise ₹ 20,000 crores from the primary market for diversification and modernisation of existing projects. It hired the services of a renowned financial consultancy firm, DHAN LAXMI PVT. LTD. to suggest options for the same. DHAN LAXMI PVT. LTD. suggested a list of options to the Board of Directors of the company. It was decided that for the immediate requirement of ₹ 1,500 crores, the company will give a privilege to existing shareholders to subscribe to a new issue of shares according to the terms and conditions of the company. ₹ 4,500 crores would be raised by allotment of securities to a consortium of financial institutions, instead of inviting subscription from the public by making a direct appeal to investors to raise capital. It was further decided to raise capital to the tune of ₹ 6,000 crores through an issuing house. All these options were accepted by the Board of Directors. The Board further decided to raise ₹ 8,000 crores through the online system of the stock exchange by entering into an agreement with the exchange.Q. Identify the method of floatation of new issues in the primary market, not taken up by ISQAA SOLAR LTD. :a)Offer for saleb)Rights issuec)E-IPOd)Offer through prospectusCorrect answer is option 'D'. Can you explain this answer? for Commerce 2024 is part of Commerce preparation. The Question and answers have been prepared according to the Commerce exam syllabus. Information about Direction: Read the following text and answer the questions given below:ISQAA SOLAR Limited is searching for options to raise ₹ 20,000 crores from the primary market for diversification and modernisation of existing projects. It hired the services of a renowned financial consultancy firm, DHAN LAXMI PVT. LTD. to suggest options for the same. DHAN LAXMI PVT. LTD. suggested a list of options to the Board of Directors of the company. It was decided that for the immediate requirement of ₹ 1,500 crores, the company will give a privilege to existing shareholders to subscribe to a new issue of shares according to the terms and conditions of the company. ₹ 4,500 crores would be raised by allotment of securities to a consortium of financial institutions, instead of inviting subscription from the public by making a direct appeal to investors to raise capital. It was further decided to raise capital to the tune of ₹ 6,000 crores through an issuing house. All these options were accepted by the Board of Directors. The Board further decided to raise ₹ 8,000 crores through the online system of the stock exchange by entering into an agreement with the exchange.Q. Identify the method of floatation of new issues in the primary market, not taken up by ISQAA SOLAR LTD. :a)Offer for saleb)Rights issuec)E-IPOd)Offer through prospectusCorrect answer is option 'D'. Can you explain this answer? covers all topics & solutions for Commerce 2024 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for Direction: Read the following text and answer the questions given below:ISQAA SOLAR Limited is searching for options to raise ₹ 20,000 crores from the primary market for diversification and modernisation of existing projects. It hired the services of a renowned financial consultancy firm, DHAN LAXMI PVT. LTD. to suggest options for the same. DHAN LAXMI PVT. LTD. suggested a list of options to the Board of Directors of the company. It was decided that for the immediate requirement of ₹ 1,500 crores, the company will give a privilege to existing shareholders to subscribe to a new issue of shares according to the terms and conditions of the company. ₹ 4,500 crores would be raised by allotment of securities to a consortium of financial institutions, instead of inviting subscription from the public by making a direct appeal to investors to raise capital. It was further decided to raise capital to the tune of ₹ 6,000 crores through an issuing house. All these options were accepted by the Board of Directors. The Board further decided to raise ₹ 8,000 crores through the online system of the stock exchange by entering into an agreement with the exchange.Q. Identify the method of floatation of new issues in the primary market, not taken up by ISQAA SOLAR LTD. :a)Offer for saleb)Rights issuec)E-IPOd)Offer through prospectusCorrect answer is option 'D'. Can you explain this answer?.
Direction: Read the following text and answer the questions given below:ISQAA SOLAR Limited is searching for options to raise ₹ 20,000 crores from the primary market for diversification and modernisation of existing projects. It hired the services of a renowned financial consultancy firm, DHAN LAXMI PVT. LTD. to suggest options for the same. DHAN LAXMI PVT. LTD. suggested a list of options to the Board of Directors of the company. It was decided that for the immediate requirement of ₹ 1,500 crores, the company will give a privilege to existing shareholders to subscribe to a new issue of shares according to the terms and conditions of the company. ₹ 4,500 crores would be raised by allotment of securities to a consortium of financial institutions, instead of inviting subscription from the public by making a direct appeal to investors to raise capital. It was further decided to raise capital to the tune of ₹ 6,000 crores through an issuing house. All these options were accepted by the Board of Directors. The Board further decided to raise ₹ 8,000 crores through the online system of the stock exchange by entering into an agreement with the exchange.Q. Identify the method of floatation of new issues in the primary market, not taken up by ISQAA SOLAR LTD. :a)Offer for saleb)Rights issuec)E-IPOd)Offer through prospectusCorrect answer is option 'D'. Can you explain this answer? for Commerce 2024 is part of Commerce preparation. The Question and answers have been prepared according to the Commerce exam syllabus. Information about Direction: Read the following text and answer the questions given below:ISQAA SOLAR Limited is searching for options to raise ₹ 20,000 crores from the primary market for diversification and modernisation of existing projects. It hired the services of a renowned financial consultancy firm, DHAN LAXMI PVT. LTD. to suggest options for the same. DHAN LAXMI PVT. LTD. suggested a list of options to the Board of Directors of the company. It was decided that for the immediate requirement of ₹ 1,500 crores, the company will give a privilege to existing shareholders to subscribe to a new issue of shares according to the terms and conditions of the company. ₹ 4,500 crores would be raised by allotment of securities to a consortium of financial institutions, instead of inviting subscription from the public by making a direct appeal to investors to raise capital. It was further decided to raise capital to the tune of ₹ 6,000 crores through an issuing house. All these options were accepted by the Board of Directors. The Board further decided to raise ₹ 8,000 crores through the online system of the stock exchange by entering into an agreement with the exchange.Q. Identify the method of floatation of new issues in the primary market, not taken up by ISQAA SOLAR LTD. :a)Offer for saleb)Rights issuec)E-IPOd)Offer through prospectusCorrect answer is option 'D'. Can you explain this answer? covers all topics & solutions for Commerce 2024 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for Direction: Read the following text and answer the questions given below:ISQAA SOLAR Limited is searching for options to raise ₹ 20,000 crores from the primary market for diversification and modernisation of existing projects. It hired the services of a renowned financial consultancy firm, DHAN LAXMI PVT. LTD. to suggest options for the same. DHAN LAXMI PVT. LTD. suggested a list of options to the Board of Directors of the company. It was decided that for the immediate requirement of ₹ 1,500 crores, the company will give a privilege to existing shareholders to subscribe to a new issue of shares according to the terms and conditions of the company. ₹ 4,500 crores would be raised by allotment of securities to a consortium of financial institutions, instead of inviting subscription from the public by making a direct appeal to investors to raise capital. It was further decided to raise capital to the tune of ₹ 6,000 crores through an issuing house. All these options were accepted by the Board of Directors. The Board further decided to raise ₹ 8,000 crores through the online system of the stock exchange by entering into an agreement with the exchange.Q. Identify the method of floatation of new issues in the primary market, not taken up by ISQAA SOLAR LTD. :a)Offer for saleb)Rights issuec)E-IPOd)Offer through prospectusCorrect answer is option 'D'. Can you explain this answer?.
Solutions for Direction: Read the following text and answer the questions given below:ISQAA SOLAR Limited is searching for options to raise ₹ 20,000 crores from the primary market for diversification and modernisation of existing projects. It hired the services of a renowned financial consultancy firm, DHAN LAXMI PVT. LTD. to suggest options for the same. DHAN LAXMI PVT. LTD. suggested a list of options to the Board of Directors of the company. It was decided that for the immediate requirement of ₹ 1,500 crores, the company will give a privilege to existing shareholders to subscribe to a new issue of shares according to the terms and conditions of the company. ₹ 4,500 crores would be raised by allotment of securities to a consortium of financial institutions, instead of inviting subscription from the public by making a direct appeal to investors to raise capital. It was further decided to raise capital to the tune of ₹ 6,000 crores through an issuing house. All these options were accepted by the Board of Directors. The Board further decided to raise ₹ 8,000 crores through the online system of the stock exchange by entering into an agreement with the exchange.Q. Identify the method of floatation of new issues in the primary market, not taken up by ISQAA SOLAR LTD. :a)Offer for saleb)Rights issuec)E-IPOd)Offer through prospectusCorrect answer is option 'D'. Can you explain this answer? in English & in Hindi are available as part of our courses for Commerce.
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Here you can find the meaning of Direction: Read the following text and answer the questions given below:ISQAA SOLAR Limited is searching for options to raise ₹ 20,000 crores from the primary market for diversification and modernisation of existing projects. It hired the services of a renowned financial consultancy firm, DHAN LAXMI PVT. LTD. to suggest options for the same. DHAN LAXMI PVT. LTD. suggested a list of options to the Board of Directors of the company. It was decided that for the immediate requirement of ₹ 1,500 crores, the company will give a privilege to existing shareholders to subscribe to a new issue of shares according to the terms and conditions of the company. ₹ 4,500 crores would be raised by allotment of securities to a consortium of financial institutions, instead of inviting subscription from the public by making a direct appeal to investors to raise capital. It was further decided to raise capital to the tune of ₹ 6,000 crores through an issuing house. All these options were accepted by the Board of Directors. The Board further decided to raise ₹ 8,000 crores through the online system of the stock exchange by entering into an agreement with the exchange.Q. Identify the method of floatation of new issues in the primary market, not taken up by ISQAA SOLAR LTD. :a)Offer for saleb)Rights issuec)E-IPOd)Offer through prospectusCorrect answer is option 'D'. Can you explain this answer? defined & explained in the simplest way possible. Besides giving the explanation of
Direction: Read the following text and answer the questions given below:ISQAA SOLAR Limited is searching for options to raise ₹ 20,000 crores from the primary market for diversification and modernisation of existing projects. It hired the services of a renowned financial consultancy firm, DHAN LAXMI PVT. LTD. to suggest options for the same. DHAN LAXMI PVT. LTD. suggested a list of options to the Board of Directors of the company. It was decided that for the immediate requirement of ₹ 1,500 crores, the company will give a privilege to existing shareholders to subscribe to a new issue of shares according to the terms and conditions of the company. ₹ 4,500 crores would be raised by allotment of securities to a consortium of financial institutions, instead of inviting subscription from the public by making a direct appeal to investors to raise capital. It was further decided to raise capital to the tune of ₹ 6,000 crores through an issuing house. All these options were accepted by the Board of Directors. The Board further decided to raise ₹ 8,000 crores through the online system of the stock exchange by entering into an agreement with the exchange.Q. Identify the method of floatation of new issues in the primary market, not taken up by ISQAA SOLAR LTD. :a)Offer for saleb)Rights issuec)E-IPOd)Offer through prospectusCorrect answer is option 'D'. Can you explain this answer?, a detailed solution for Direction: Read the following text and answer the questions given below:ISQAA SOLAR Limited is searching for options to raise ₹ 20,000 crores from the primary market for diversification and modernisation of existing projects. It hired the services of a renowned financial consultancy firm, DHAN LAXMI PVT. LTD. to suggest options for the same. DHAN LAXMI PVT. LTD. suggested a list of options to the Board of Directors of the company. It was decided that for the immediate requirement of ₹ 1,500 crores, the company will give a privilege to existing shareholders to subscribe to a new issue of shares according to the terms and conditions of the company. ₹ 4,500 crores would be raised by allotment of securities to a consortium of financial institutions, instead of inviting subscription from the public by making a direct appeal to investors to raise capital. It was further decided to raise capital to the tune of ₹ 6,000 crores through an issuing house. All these options were accepted by the Board of Directors. The Board further decided to raise ₹ 8,000 crores through the online system of the stock exchange by entering into an agreement with the exchange.Q. Identify the method of floatation of new issues in the primary market, not taken up by ISQAA SOLAR LTD. :a)Offer for saleb)Rights issuec)E-IPOd)Offer through prospectusCorrect answer is option 'D'. Can you explain this answer? has been provided alongside types of Direction: Read the following text and answer the questions given below:ISQAA SOLAR Limited is searching for options to raise ₹ 20,000 crores from the primary market for diversification and modernisation of existing projects. It hired the services of a renowned financial consultancy firm, DHAN LAXMI PVT. LTD. to suggest options for the same. DHAN LAXMI PVT. LTD. suggested a list of options to the Board of Directors of the company. It was decided that for the immediate requirement of ₹ 1,500 crores, the company will give a privilege to existing shareholders to subscribe to a new issue of shares according to the terms and conditions of the company. ₹ 4,500 crores would be raised by allotment of securities to a consortium of financial institutions, instead of inviting subscription from the public by making a direct appeal to investors to raise capital. It was further decided to raise capital to the tune of ₹ 6,000 crores through an issuing house. All these options were accepted by the Board of Directors. The Board further decided to raise ₹ 8,000 crores through the online system of the stock exchange by entering into an agreement with the exchange.Q. Identify the method of floatation of new issues in the primary market, not taken up by ISQAA SOLAR LTD. :a)Offer for saleb)Rights issuec)E-IPOd)Offer through prospectusCorrect answer is option 'D'. Can you explain this answer? theory, EduRev gives you an
ample number of questions to practice Direction: Read the following text and answer the questions given below:ISQAA SOLAR Limited is searching for options to raise ₹ 20,000 crores from the primary market for diversification and modernisation of existing projects. It hired the services of a renowned financial consultancy firm, DHAN LAXMI PVT. LTD. to suggest options for the same. DHAN LAXMI PVT. LTD. suggested a list of options to the Board of Directors of the company. It was decided that for the immediate requirement of ₹ 1,500 crores, the company will give a privilege to existing shareholders to subscribe to a new issue of shares according to the terms and conditions of the company. ₹ 4,500 crores would be raised by allotment of securities to a consortium of financial institutions, instead of inviting subscription from the public by making a direct appeal to investors to raise capital. It was further decided to raise capital to the tune of ₹ 6,000 crores through an issuing house. All these options were accepted by the Board of Directors. The Board further decided to raise ₹ 8,000 crores through the online system of the stock exchange by entering into an agreement with the exchange.Q. Identify the method of floatation of new issues in the primary market, not taken up by ISQAA SOLAR LTD. :a)Offer for saleb)Rights issuec)E-IPOd)Offer through prospectusCorrect answer is option 'D'. Can you explain this answer? tests, examples and also practice Commerce tests.
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