header bg

Question:

A private equity firm that provides equity capital to a publicly traded company to finance the company’s restructuring, but does not take the company private, is best described as engaging in:

A private investment in public equity.
Explaination

Private investment in public equities refers to a private equity firm providing equity financing to publicly traded companies. Angel investing refers to financing the formation of a business. Mezzanine financing refers to subordinated equity-linked debt or preferred shares issued to finance a leveraged buyout.