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What Is Delisting of Shares & What Happens After This…?

Delisting of shares occursu00a0when a company decideu00a0to withdraw their stock from theu00a0stock exchange and make them no longer tradeable. In this presentation we elaborate its type, effects and opportunities for investors.

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What Is Delisting of Shares & What Happens After This…?

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  1. DELISTING OF SHARES WHAT HAPPENS AFTER THIS…? Presented by Pravin Khetan

  2. What is Delisting of Shares? The act of withdrawing securities from a stock exchange is known as “delisting” of shares. Delisting, for instance, company decide to withdraw their stock from the stock exchange and make them no longer tradeable. occurs when a

  3. Difference Between Voluntary & Compulsory Delisting of Stocks. Effects of Voluntarily Delisting The acquirer notifies all of the shareholders in writing of the buyback. Shareholders receive a bidding form in addition to the notification. The acquirer makes an offer to shareholders, who can then decide whether to accept it and withdraw their investment. The Effects of Compulsorily Delisting Using a predetermined price or a price established by an authorized body, acquirers or promoters make an offer to acquire back shares from the current shareholders. This approach, like the prior one, has no impact on a shareholder’s ownership of the business. But with this approach, once the company is delisted, the value of its shares might decrease.

  4. Opportunities For Investors During The Delisting of A Company’s Stocks. Delisting voluntarily in which the exit price is established via the RBB procedure- The shareholders must make a bid at a price that is on or above the floor price, which is computed in according to the rules. A public shareholder’s bid would serve as the foundation for determining the exit price. The promoter pays the investors that price so they can exit if the promoter is ok with the exit price that has been determined.

  5. A Company Can Relist Its Shares After Delisting ? If the company gets SEBI’s approval and complies with its rules, a delisted share may be relisted. Five years must pass from the delisting date before shares that were voluntarily removed from the market can be relisted. A corporation must wait ten years before being relisted on exchanges if it was delisted forcibly. Source what-happens-after-this/ URL: https://www.iplaneducation.com/what-is-delisting-of-shares-

  6. THANK YOU For detailed information about stock marketing can directly contact us. 8882775775 www.iplaneducation.com info@iplaneducation.com

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