This statement is generally true. A call provision in a financial agreement or warrant issuance allows the issuer (in this case, a corporation) to repurchase the warrants before their expiration date at a specified price.
What does the corporations do
It grants the issuer the right, but not the obligation, to buy back the warrants from the warrant holder under predetermined conditions.
Call provisions can benefit the issuer by providing flexibility in managing their capital structure. For instance, if interest rates decrease or the issuer's financial situation improves.
question
True / false) Most corporations include call provisions in agreements relating to the issue of warrants.