In an Equity Carve-Out, the Parent of a Multiple-Subsidiary Firm

question 2

Multiple Choice

In an equity carve-out, the parent of a multiple-subsidiary firm issues equity claims against a particular subsidiary via a

• A)private placement.
• B)pro-rata distribution to the parent's current stockholders.
• C)public offering.
• D)unit distribution.

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Definitions:

Close

To conclude or bring to an end; in financial contexts, it refers to the end of a trading session.

Business Report

A document that presents information in an organized format for a specific audience and purpose, often used to communicate research findings, analysis, or recommendations.

Functions

The roles or activities that an individual, group, or thing is expected to perform or fulfill.

Persuade

To convince someone to do or believe something through reasoning or argument.