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Open-market buy-back: SEBI Regulations cap the open-market offer at what % of paid-up capital + free reserves?
A5%
B15%
C10%
D25%
Answer & Solution
Correct answer: B. 15%
1. Step 1: SEBI Buy-Back Regulations 2013 amendment: no open-market buy-back shall be for 15% or more.
2. Step 2: Beyond 15% must be via tender / proportionate offer.
3. Step 3: Hence (C).
_Source: ICAI BoS CA Inter Paper 1, Ch 12 "Buy-Back of Securities"_