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Recapitalization is the change in the capital structure of a corporation. Majority of the time recapitalization will occur when new shares are issued, stocks are exchanged, "leveraged buy-outs" take place, or the company sees major reorganization of the employees roles.

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Advantages of recapitalization?

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What is recapitalization of banks?

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Merits of recapitalization of banking sector?

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Is recapitalization of Nigerian banking a curse or a blessing?

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What is recapitalization in the Nigerian system?

recapitalization means increase in capital, work in progress, stock,goodwill,bond etc nd decrease in loans,debts nd al forms of liabilities in economic and accounting sense.


What is bank recapitalisation?

Recapitalization is a sort of a corporate reorganization involving substantial change in a company's capital structure. In leveraged recapitalization, the bank issues bonds, which are bought back by the bank. Current shareholders retain control.


Can the Strategic Purposes Involved in Selling and Acquisition be Termed as Prerequisites of this Transaction?

Speaking about the strategic purposes, both the seller and the buyer have their own purposes that they look forward to be fulfilled at the end of this transaction. However, strategic purposes mainly emphasise on recapitalization of a firm, it shouldn’t be shunned even as a prerequisite of this convention. Also, it would be fundamentally wrong to say so, as these purposes only in recapitalization.


Why is it important to Focus on the Product More While you're Selling a Business?

When you are on the selling side of the transaction focusing more on your product will help you bag the best purchase price for your company. And if you are looking for recapitalization your product can also be your gateway to a better management and an enhanced customer base.


Is Selling the Business, the Right thing to in this Pandemic?

The global economy is witnessing its worst days since the declaration of worldwide pandemic. And after the imposition of lockdown, the brutality reached its height. All the new players who couldn’t bear the load got swept in the wave. But that doesn’t mean you should sell your business. Rather, consider options like recapitalization and grow together with influential players.


What is called a type of reorganization in which management revalues assets and eliminates deficit by charging it to other equity accounts?

The type of reorganization you are referring to is called a "recapitalization." In this process, a company may revalue its assets and address deficits by reallocating or adjusting amounts in its equity accounts, often through mechanisms such as debt restructuring or equity issuance. This can help improve the financial health of the company and provide a clearer picture of its asset value.


What's type of reorganization in which management revalues the assets and eliminates the deficit by charging it to the other equity accounts without the creation of a new corporate entity or court i?

The type of reorganization you're referring to is known as a "balance sheet reorganization" or "equity recapitalization." In this process, management revalues the company's assets and addresses any deficits by adjusting equity accounts, typically without involving a new corporate entity or court proceedings. This approach allows the company to streamline its capital structure and improve its financial health while remaining operational.


What is the benefit of recapitalisation?

Recapitalization of a company's equity value can occur for many reasons, but the primary one is that losses have led to a company's "undercapitalization," meaning not enough invested capital to carry out the company's operations, take necessary write offs of discontinued or unprofitable lines of business, and yet have enough money to fund ongoing operations. Generally an investor comes in who makes the necessary investment (and it doesn't have to be all equity, debt is used as well) tales a "position" in the company, expecting a reasonable reward in increased stock value or in the investor's investment over a period of time.