Multiple choice

Directions: Choose the correct option for the given question.

Which of the following is eligible to issue Shelf Prospectus?

  1. Any company contemplating for public issue of securities

  2. Any public financial institution

  3. Only manufacturing companies

  4. Only foreign companies engaged in trading in India
Reveal answer Fill a bubble to check yourself
B Correct answer
Explanation

Shelf prospectus allows eligible entities to raise funds in tranches over time without filing fresh prospectus each time. Only public financial institutions (like IDFC, SIDBI, IIFCL) are eligible under Companies Act - regular companies whether manufacturing or foreign cannot use this facility.

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