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Authors

Ashish Ahuja

Abstract

There are two methods by which one can purchase the shares of public companies. The first method is the purchase of shares in the primary market. This method involves the direct subscription to the shares of a company through a share application form. The mode of subscription may be through a public issue; a rights issue or a private placement.' second method of purchase is purchase in the secondary market. This involves tripartite transactions, as it involves a willing buyer, a willing seller and ultimately, the company, for the purpose of registration of the transaction. Here the shares may be purchased in a stock exchange or any other exchange market like the Over the Counter Exchange of India (OTCEI).

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