A listed company wants to raise money for expansion through issue of additional shares. What are the ways in which it can do that?(1.0 Marks)Rights Issue Or Follow-On Public Offering (FPO)AInitial Public Offers (IPO) Or Bonus IssueBBonus Issue Or Stock SplitCBuyback Of Shares Or By Announcing Special Dividend

A listed company can raise money for expansion through the issue of additional shares in the following ways:

1. Rights Issue or Follow-On Public Offering (FPO): In a rights issue, the company offers additional shares to existing shareholders in proportion to their current shareholding. The price at which the new shares are offered is usually less than the current market price. FPO is another method where the company issues new shares to the public.

2. Initial Public Offers (IPO) or Bonus Issue: An IPO is not applicable for a listed company as it is already public. However, a Bonus Issue is a method where the company issues additional shares to existing shareholders for free. This is usually done by capitalizing the company's reserves.

3. Bonus Issue or Stock Split: As mentioned above, a Bonus Issue is one method. A Stock Split is another method where the company increases the number of shares by splitting the existing shares. This does not affect the overall capital of the company but makes the shares more affordable which can attract more investors.

4. Buyback of Shares or By Announcing Special Dividend: These methods do not raise capital but return capital to shareholders. A Buyback reduces the number of shares in the market and increases the earnings per share. A Special Dividend is a one-time payment to shareholders, which could make the company's shares more attractive to investors.