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Question : Case Study 25:

MNO Enterprises is a leading company in the consumer goods sector planning to expand its operations globally.

Question : 

MNO Enterprises is looking to raise funds for expanding its global operations. What type of market activity would be relevant for this objective?

Option 1: IPO (Initial Public Offering)
 

Option 2: Currency swap
 

Option 3: Mergers and acquisitions

 

Option 4: Commercial paper issuance


Team Careers360 4th Jan, 2024
Answer (1)
Team Careers360 16th Jan, 2024

Correct Answer: IPO (Initial Public Offering)


Solution : The correct answer is (a) IPO (Initial Public Offering)

An IPO is a process through which a private company goes public by offering its shares to the public for the first time. This allows the company to raise significant funds by selling ownership stakes (equity) to investors, which can then be used to fund expansion plans and other business initiatives, including global expansion. Going public through an IPO is a common approach for companies seeking to raise substantial capital for growth and expansion.

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