Preferential allotment is a method of issuing shares by a company to a select group of investors, such as promoters, strategic investors, private equity funds, or other institutional investors, at a price higher than the prevailing market price. They are typically used by companies to raise capital quickly and efficiently, as the shares are offered to a select group of investors who are already familiar with the company’s operations and growth prospects.

Corpwis Advisors simplifies and streamlines the process of preferential allotment by structuring the preferential issue, liaising with the stock exchanges and ensuring compliance.