What is pre and post issue management in merchant banking?
The pre issue management refers to process of coordinating the activities on issuing of the shares and setting the price of the issue. The post issue management deals with activities of collecting, evaluating the forms and allotting the certificates.
What is Post Issue management in merchant banking?
Post issue management is concerned with following: 1) Collection of application forms and amount received. 2) Scrutinising application. 3) Deciding allotment procedure. 4) Mailing of share certificates/refund or allotment orders.
What is pre issue and post issue?
… year-end prior to the year of issue is considered as the pre-issue year and the year-end of the issue-year is considered as the post-issue year.
What are the issue management services rendered by merchant bankers?
It covers a wide range of merchant banking activities and includes services such as project counseling, project management, loan syndications, working capital management, capital restructuring, public issue management, fixed deposit, lease financing.
What is meant by post issue management?
The post issue management consists of collection of application forms and statement of amount received from bankers, screening applications, deciding allotment procedure, mailing of allotment letters, share certificates and refund orders. Registrars to the issue play a major role in the post management.
What are the post issue activities?
7.3. 1 The Post -issue Lead Merchant Banker shall actively associate himself with post-issue activities namely, allotment, refund and despatch and shall regularly monitor redressal of investor grievances arising therefrom.
What is pre-issue obligations of merchant banker?
5.0 The pre-issue obligations are detailed below : 5.1 The lead merchant banker shall exercise due diligence. 5.1. 1 The standard of due diligence shall be such that the merchant banker shall satisfy himself about all the aspects of offering, veracity and adequacy of disclosure in the offer documents.
Who manage the post issue activities?
What are the types of issues in merchant banks?
Scope for Merchant Banking in India
- Growth of New Issues Market.
- Entry of Foreign Investors.
- Changing Policy of Financial Institutions.
- Development of Debt Market.
- Corporate Restructuring.
- Disinvestment.
What are the pre-issue activities of merchant banking?
The management of public issue of securities is core of merchant banking Pre-issue activities Post-issue activities Issue marketing PRE-ISSUE ACTIVITIES Documents to be submitted: MOU Due diligence certificate List of promoters Draft prospectus in computer floppy Ten copies of draft offer
What is a merchant bank?
erchant Banks * Merchant Banks are financial institutions that provide specialised services in corporate finance, portfolio management, issue management and banking services.
What is the role of post-issue lead merchant banker?
Bank to issue • The post-issue lead merchant banker shall ensure that moneys received pursuant to the issue are kept in a separate bank (i.e Bankers to issue )as per the provisions of section 73 (3) of the companies act, 1956.
How capital issue are managed by merchant bankers?
The capital issue are managed are category-1 merchant banker and constitutes the most important aspects of their services. The public issue of corporate securities involves marketing of capital issues of new and existing companies, additional issues of existing companies including rights issue and dilution of shares by letter of offer.