Cash settlement and Cash shell: Difference between pages

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imported>Doug Williamson
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imported>Doug Williamson
(Create page - source - Source - Financial Conduct Authority - Primary Market Technical Note 420 - updated August 2021 - https://www.fca.org.uk/publication/policy/ps21-10.pdf)
 
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Options are more commonly ‘cash settled’ by paying or receiving a net cash amount, rather than being settled by physical delivery of the underlying asset.
''Companies - special purpose vehicles - acquisitions.''
 
A cash shell is a company whose assets are substantially, or entirely, cash or cash equivalents.
 
Some cash shells may have a strategy to seek an acquisition opportunity or to develop a business as a start-up.
 
Accordingly, there is some overlap between cash shell companies and  Special Purpose Acquisition Companies (SAPCs).
 
''(Source - Financial Conduct Authority - Primary Market Technical Note 420 - updated August 2021)''




== See also ==
== See also ==
* [[Derivative]]
* [[Acquisition]]
* [[Non-deliverable option]]
* [[Cash and cash equivalents]]
* [[Option]]
* [[Company]]
* [[Settlement]]
* [[Conduit]]
* [[Entity]]
* [[Financial Conduct Authority]] (FCA)
* [[Operating company]]
* [[Shell company]]
* [[SPACs]]
* [[Special Purpose Entity]]
* [[Special purpose vehicle]]
* [[Sponsor]]


[[Category:The_business_context]]
[[Category:Accounting,_tax_and_regulation]]
[[Category:Corporate_finance]]
[[Category:Investment]]
[[Category:Long_term_funding]]
[[Category:Compliance_and_audit]]
[[Category:Ethics]]
[[Category:Identify_and_assess_risks]]
[[Category:Manage_risks]]
[[Category:Manage_risks]]
[[Category:Risk_frameworks]]
[[Category:Risk_reporting]]
[[Category:Financial_products_and_markets]]
[[Category:Financial_products_and_markets]]

Revision as of 15:10, 18 August 2021

Companies - special purpose vehicles - acquisitions.

A cash shell is a company whose assets are substantially, or entirely, cash or cash equivalents.

Some cash shells may have a strategy to seek an acquisition opportunity or to develop a business as a start-up.

Accordingly, there is some overlap between cash shell companies and Special Purpose Acquisition Companies (SAPCs).

(Source - Financial Conduct Authority - Primary Market Technical Note 420 - updated August 2021)


See also