Multiple choice

The concept of ‘discovered price’ is used in the context of

  1. rights issue

  2. initial public issue

  3. book building issue

  4. bonus issue

Reveal answer Fill a bubble to check yourself
C Correct answer
Explanation

Book building is a systematic process of generating, capturing and recording investor demand for shares during an initial public offering (IPO) or other securities during their issuance process in order to support efficient price discovery.