Which of the following is a reason a company might cross-list itself on a foreign stock exchange?
A) It wants to hedge against currency fluctuations.
B) It is less expensive than listing itself solely on a domestic exchange.
C) It wants to obtain acquisition currency for acquiring a foreign company.
D) It is required for accomplishing foreign direct investment.

Question

Quizplus · Accepted Answer

Cross-listing on a foreign stock exchange can provide a company with acquisition currency, making it easier to acquire foreign companies by using its shares as a form of payment. This strategy can facilitate international expansion and mergers or acquisitions.

Which of the Following Is a Reason a Company Might