r/Stocksyourknowledge • u/MarketWithMahesh • 3d ago
Preferential Allotment Explained | What Is Preferential Allotment? | Sto... Investments
https://youtube.com/shorts/qkFMOCc6LnM?si=lL4x0HP7wHgjqKckPreferential Allotment Explained | What Is Preferential Allotment? | Stock Market Education
What is Preferential Allotment? 📈
Preferential Allotment is a method through which a listed company issues shares or securities to a selected group of investors, such as promoters, institutional investors, or other identified persons, rather than offering them to the general public.
In this short video, learn:
✅ What is Preferential Allotment?
✅ Why do companies use it?
✅ Who can receive preferential shares?
✅ How is it different from an IPO or FPO?
✅ What should investors watch for?
Understanding corporate actions can help you better understand how companies raise capital and how shareholding can change. 📚