An investor group acquired all of the publicly traded shares of a firm. Once acquired, such shares would no longer trade publicly. Which of the following terms best describes this situation?

Question

Quizplus · Accepted Answer

A going private transaction is when a group of investors acquires all of the publicly traded shares of a firm, taking the company from a publicly traded entity to a privately held one. This means that the shares will no longer trade publicly.

An Investor Group Acquired All of the Publicly Traded Shares