when the parent(listed) company plans to list it's wholly owned subsidiary, will i get the shares of the new listed subsidiary company, since I will be holding the shares of the parent company??
For ex:- NTPC is ready to make it's ipo of wholly owned subsidiary company (renewable company). will I get the shares of the subsidiary company ??
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Effect of share price at the time of listing of wholly owned subsidiary company
Replies (1)
Yes. The parent can issue their shares to the public or repurchase them from exchanges.
The wholly owned subsidiary means, parent owns everything. So, it can raise capital this way and there are no resources available at the moment.
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