CDS Ltd. is planning to make a private placement of securities. The Managing Director arranged to...
Fantastic news! We've Found the answer you've been seeking!
Question:
Transcribed Image Text:
CDS Ltd. is planning to make a private placement of securities. The Managing Director arranged to obtain a brief note from some source explaining the salient features of the issue of a private placement that the Board of Directors shall keep in mind while approving the proposal on this subject. The brief note includes, inter alia, the information/suggestions on the following points: (i) A private placement shall be made only to a select group of identified persons not exceeding 200 in a financial year. The aforesaid ceiling of identified persons shall not apply to the offer made to the qualified institutional buyers but is applicable to the employees of the Company who will be covered under the Company's Employees Stock Option Scheme. (ii) The offer on a private placement basis shall be made only once in a financial year for any number of identified persons not exceeding 200. Does the Company solicit your remarks on the points referred to above as to whether they are valid or not? Reasoned remarks should be given by the provisions of the Companies Act, 2013. CDS Ltd. is planning to make a private placement of securities. The Managing Director arranged to obtain a brief note from some source explaining the salient features of the issue of a private placement that the Board of Directors shall keep in mind while approving the proposal on this subject. The brief note includes, inter alia, the information/suggestions on the following points: (i) A private placement shall be made only to a select group of identified persons not exceeding 200 in a financial year. The aforesaid ceiling of identified persons shall not apply to the offer made to the qualified institutional buyers but is applicable to the employees of the Company who will be covered under the Company's Employees Stock Option Scheme. (ii) The offer on a private placement basis shall be made only once in a financial year for any number of identified persons not exceeding 200. Does the Company solicit your remarks on the points referred to above as to whether they are valid or not? Reasoned remarks should be given by the provisions of the Companies Act, 2013.
Expert Answer:
Related Book For
Posted Date:
Students also viewed these corporate finance questions
-
As an art project, Jesse is planning to make a set of nesting boxes (boxes that fit inside each other). Each box requires five squares that will fold into an open box with no lid. The largest box...
-
The Charvon oil company is planning to make a large investment in coal-to-liquids (CTL) gasoline. The end product will be a perfect substitute for gasoline made from petroleum, but the feedstock will...
-
A gambler is planning to make a sequence of bets on a roulette wheel. Note that a roulette wheel has 38 numbers, of which 18 are red, 18 are black, and 2 are green. Each time the wheel is spun, each...
-
Why do you suppose P&Gs marketing research includes face-to-face interviews for the situation described in this case? Would other forms of marketing research also be useful in this situation? Explain...
-
The following are selected portions of the report of management from a published annual report. REPORT OF MANAGEMENT Management's Report on Internal Control over Financial Reporting The Company's...
-
In our discussion of the SML, we defined alpha. What does alpha measure? What alpha would you like to see on your investments?
-
What evidence is protected from disclosure based on a claim of privilege?
-
Calculate how much disk space (in sectors, tracks, and surfaces) will be required to store 300,000 120-byte logical records if the disk is fixed sector with 512 bytes/sector, with 96 sectors/track,...
-
George has an investment portfolio with an actual rate of return of 6.5%, a standard deviation of 3%, and a beta of 0.85. Assuming the market's actual return is 7% and the risk-free rate of return is...
-
Answer- Mike Greenberg opened Swifty Window Washing Co. on July 1, 2020. During July, the following transactions were completed. July 1 Owner invested $14,200 cash in the company. 1 Purchased used...
-
A ball of mass 4.0 kg is allowed to drop from a position 2.0m above the ground. (Left figure). After falling 1.0 m, it is just about to touch the top of a vertical spring, of uncompressed length...
-
Following a sharp increase in the price of energy, the overall price level is most likely to rise in the short run: A. and remain elevated indefinitely unless the central bank tightens. B. but be...
-
Writing a strangle (advanced). Assuming that Allied-Lyons would write a strangle as a speculative strategy, rather than a straddle as in problem 7, would you consider it to be more or less...
-
Comment on the importance of value creation product strategies for transactional, consultative, and strategic alliance buyers.
-
What are the four steps in the cost allocation process?
-
What is the most important effect of labor productivity in a cost-push inflation scenario? A. Rising productivity indicates a strong economy and a bias toward inflation. B. The productivity level...
-
(Yield to maturity) Assume the market price of a 6-year bond for Margaret Inc. is $925, and it has a par value of $1,000. The bond has an annual interest rate of 7% that is paid semiannually. What is...
-
Is that Yelp review real or fake? The article A Framework for Fake Review Detection in Online Consumer Electronics Retailers (Information Processing and Management 2019: 12341244) tested five...
-
A researcher took a sample of 25 electronics companies and found the following relationship between x and y, where x is the amount of money (in millions of dollars) spent on advertising by a company...
-
The following data set belongs to a population: Calculate the range, variance, and standard deviation. 2 0 -9 16 10
-
In a Time Magazine/Aspen poll of American adults conducted by the strategic research firm Penn Schoen Berland, these adults were asked, In your opinion, what is more important for the U.S. to focus...
-
Founded in 1998, PAETEC Communications is a broadband telecommunications firm providing local and long-distance voice, data, and Internet services to business customers in over 80 markets in the...
-
In organizations like Merck & Co., the pharmaceuticals giant, and Microsoft Corporation, the leading producer of computer software, research scientists or computer programmers often work together in...
-
In 1994, Jeffrey Bezos, a computer science and electrical engineering graduate from Princeton University, was growing weary of working for a Wall Street investment bank. His computer science...
Study smarter with the SolutionInn App