question_answer 23)

Paragraph 'R' Limited is a real estate company which was formed In 1950. In about 56 years of its existence the company has managed to carve out a niche for itself in this sector. Lately, this sector is witnessing a boom due to the fact that the Indian economy is on the rise. The incomes of middle class are rising. More people can afford to buy homes for themselves due lo easy availability of loans and accompanying tax concessions. To expand its business in India and abroad the company is weight various options to raise money through equity offerings in India. Whether to tap equity or debt, market whether to raise money from domestic market or international market or combination of both? When their to raise the necessary finance from money market or capital market. It is also planning to list itself in New York Stock Exchange to raise money through ADR's. To make its offerings attractive it is planning to offer host of financial plans products to its stakeholders and investors and also expand it's listing at NSE after complying with the regulations of SEBI.   What benefits will the company derive from listing at NSE?  

Answer:

Following are the benefits the company can derive from listing at NSE (i) NSE provides nationwide trading facility for all types of facilities. (ii) The liquidity and best available prices for the securities are ensured by the processing speed of the exchange. (iii) The NSE network is used to disseminate information and company announcements across the country. (iv) Enabling shorter settlement cycles and book entry settlement.