CIMA Financial Strategy F3 Question # 79 Topic 8 Discussion

CIMA Financial Strategy F3 Question # 79 Topic 8 Discussion

F3 Exam Topic 8 Question 79 Discussion:
Question #: 79
Topic #: 8

A venture capitalist has made an equity investment in a private company and is evaluating possible methods by which it can exit the investment over the next 3 years. The private company shareholders comprise the four original founders and the venture capitalist. 

 Advise the venture capitalist which THREE of the following methods will enable it to exit its equity investment?


A.

The private company buys back the equity shares.


B.

The private company undertakes a 1 for 4 rights issue.


C.

The private company obtains a stock market listing.


D.

The private company conducts a stock split of its share capital.


E.

Trade sale of shares to an external 3rd party.


Get Premium F3 Questions

Contribute your Thoughts:


Chosen Answer:
This is a voting comment (?). It is better to Upvote an existing comment if you don't have anything to add.