Ad-Free CAclubindia and Daily Updates on your mobile. Subscribe Now!

Easy Office

LCI Learning

Underwriting of shares

lavanya (nil) (32 Points)

12 December 2011

what is d stand of underwritters regarding firmly underwritten shares in case of oversubscripttion?

Reply
Follow
Share

1 Replies

Vineet Kumar Sharma (Chartered Accountant) (316 Points)
Replied 14 December 2011

Even in the case of oversubscripttion, the underwriters are liable to subscribe their firm underwriting.

For eg., I am appointed as an underwriter for underwriting 10,000 shares. If I have given an assurance to a co. for subscribing 2,000 shares as a Firm underwriting & received 12,000 applications for subscripttion. I'll require to subscribe for my 2,000 shares first. Then, allotment of 8,000 shares is made to 12,000 application holders.

1 Like

Upgrade to CAclubindia Pro. Subscribe Now!

Join CCI Pro

Recent Topics

More recent discussions | Post

Related Threads

Popular Discussion

Start a New Discussion

CCI Pro

Trending Online Classes

3 Days Certification Course on Tax Audit Under Income Tax Act 1961

CA Pratibha Goyal

Enroll Now

05 August 2024
Live class on PF & ESI Enrollment & Returns Filing(with recording)

Mr.Balamurugan Ranganathan

Enroll Now

26 July 2024
Live Course on Practical GST Filing with Expert Legal Insights

Sachin Jain

Enroll Now

26 July 2023

view all classess

Let's Talk Money: You've Worked Hard for It, Now Make It Work for You

Click here for more bestsellers

Subscribe to the latest topics :

Search Forum:

Forum Home

Popular Threads

Recent Posts

Unreplied Threads

Settings