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State any one advantage each for a company that opts for private placement and rights issue as a source to raise funds. - Entrepreneurship

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Question

State any one advantage each for a company that opts for private placement and rights issue as a source to raise funds.

Answer in Brief
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Solution

Private placement: The company can keep its confidentiality as at times they do not wish to disclose information to the open market.

Rights Issue: It does not require any brokers, agents, underwriters, prospectus or enlistment, etc.

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2022-2023 (March) Sample

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