Public company allotment of shares: Public offer vs Offer for sale

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This topic contains 3 replies, has 2 voices, and was last updated by Avatar of MikeLittle MikeLittle 7 months ago.

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  • November 14, 2012 at 1:14 pm #55311
    Avatar of thomas85
    thomas85
    Participant

    The distinction between public offer an d offer for sale is not clear to me. Could you please explain it? Thanks

    November 14, 2012 at 6:01 pm #107443
    Avatar of MikeLittle
    MikeLittle
    Keymaster

    I don’t think I’ve ever used the expression “offer for sale”. Where have you read it?

    November 15, 2012 at 8:42 pm #107444
    Avatar of thomas85
    thomas85
    Participant

    I read it in the BPP study book for this year. It says:
    “Public offer: where members of the public subscribe for shares directly to the company.”
    “Offer for sale: an offer to members of the public to apply for shares based on information in a prospectus.”

    November 16, 2012 at 6:58 am #107445
    Avatar of MikeLittle
    MikeLittle
    Keymaster

    Ah! I wouldn’t worry about the distinction – it’s hardly likely to be asked!

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