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The firm repurchases shares from a major shareholder through privately determined discussions. What method is described in the preceding situation

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Answer: Direct negotiation

Step-by-step explanation:

Since the firm repurchases shares from a major shareholder through privately determined discussions, then this is referred to as a direct negotiation.

A direct negotiation occurs when a company approaches one or some if it's largest shareholders directly so that the company can buy back the shares that was sold to them by the company back from them. In this case, the shares purchase price will include a premium.

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