Question
A MNC that has a product market presence and manufacturing facilities in several countries may cross-list its shares on the exchanges of these same countries
A MNC that has a product market presence and manufacturing facilities in several countries may cross-list its shares on the exchanges of these same countries because
a | All of the options. |
b | A company may cross-list its shares on foreign exchanges to broaden its investor base and therefore to increase the demand for its stock. An increase in demand will generally increase the stock price and improve its market liquidity. A broader investor base may also mitigate the possibility of a hostile takeover. |
c | There is typically investor demand for the Apple shares that are known within a country. |
d | Cross-listing a companys shares establishes name recognition and thus facilitates sourcing new equity capital in these foreign capital markets. |
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