PUBLIC OPINION ON PRIVATIZATION OF PUBLIC COMPANY WITH SPECIAL REFERENCE TO CHENNAI

AUTHOR – MITHUN PRASATH K *

* 4TH YEAR BBA, LLB (HONS), SAVEETHA SCHOOL OF LAW, SAVEETHA INSTITUTE OF MEDICAL AND TECHNICAL SCIENCES (SIMATS), CHENNAI- 600077 MOBILE NO: 8190076692 E-MAIL ID:MITHUNJONES13@GMAIL.COM

BEST CITATION – MITHUN PRASATH K, PUBLIC OPINION ON PRIVATIZATION OF PUBLIC COMPANY WITH SPECIAL REFERENCE TO CHENNAI, INDIAN JOURNAL OF LEGAL REVIEW (IJLR), 5 (8) OF 2025, PG. 120-128, APIS – 3920 – 0001 & ISSN – 2583-2344.

ABSTRACT:

Privatization of certain government functions occurs in a number of ways, but typically the government transfers ownership of certain facilities or business processes to a private company. Privatization generally helps governments save money and increase efficiency. Proponents of privatization argue that private firms run businesses more economically and efficiently because they have a profit incentive to eliminate wasteful spending. As a result of this public-private transaction, the company’s shares will be removed from the public exchange. The shares are no longer available to the public. While companies can be taken private for a variety of reasons, this often happens when the company is significantly undervalued in the public market. The main aim of this research is to know about the causes of the transition that takes a company from being publicly traded to becoming privately held in Chennai and to discuss all the impacts created by the privatization of public companies in Chennai. To discuss the benefits of the privatization of public companies to the government in Chennai and to examine the factors affecting the privatization of public companies in Chennai. The spreading awareness about the measure’s development of privatization of public companies in Chennai. The method of research has followed empirical research with a convenient sampling method. The sample size covered by the researcher is 200. The results of this research are that companies may be privatized for a number of reasons, but it often occurs when a company is substantially undervalued in the public market which basically benefits the respective government in many ways.

KEYWORDS: Privatization, Public companies, incentives, Investment, Investors.