can aney one explain it what is spin off / split off ?
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Answer / latha
spin off is a setting up a subsidiary through distribution
of all equity shares held by the parent company in the
subsidiary ,to the shareholders of the parent company on pro
rate basis
split off creates separate entity for its subsidiary through
distribution of shares held by the parent company to its
share holders but in exchange of the shares held by them in
the parent company.
example
1. spin off-the shareholders of Air India will get shares in
Air India engineering ltd in proportion to their holdings in
Air India.
2.split off - if A company split into 2 companies P company
,Q company
if the shareholders wishes to obtain shares in Q
company they will have to surender the shares in P company
and in exchange obtain shares in Q company.
| Is This Answer Correct ? | 18 Yes | 4 No |
Answer / madhu poor
Split off means if you have combline co. in your tally
that time u use split function and divide two financial co.
| Is This Answer Correct ? | 1 Yes | 10 No |
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