Smith, Ltd recently sold 15 million shares in an IPO. The offering price was €25.50, and the underwriting spread was 8%. How much cash did the company receive?
€382.50 million
€351.90 million
€326.35 million
€421.59 million
A security offering that raises capital for firms is called a:
primary security issue.
secondary security offering.
prospectus.
none of the above.
Smith, Ltd recently raised funds in an IPO. They received €15 from the underwriter, the offering price was €18, and the market price rose to €22 on the first day of trading. What is the spread paid by Smith?
20.00%
13.64%
16.67%
12.57%
Smith Enterprises wants to conduct an IPO. The offering price of the stock is €20, the underwriter's discount is 8% and legal and other expenses are estimated to be €2,500,000. How many shares does the company have to issue to net €15,000,000?
750,000
825,789
910,569
951,087
Smith Enterprises faces costs of 15% of the amount of cash raised for an IPO. If the company needs to raise €20 million, what is the total amount of money that needs to be raised?
€20.000 million
€23.529 million
€23.000 million
€21.432 million
Bavarian Brauhaus wants to set up an ADR program for its shares on the NYSE. Bavarian Brauhaus's shares are currently trading on the Frankfurt Stock Exchange at €15. As it turns out, once the ADR is listed on the NYSE, each ADR is worth two Bavarian Brauhaus shares.
If the price per share of Bavarian Brauhaus increases by €2.50 during trading in Frankfurt, what should be the price increase per ADR when trading begins in New York that day? Assume a $/€ exchange rate of $1.23/€.
$2.50
$5.51
$3.07
$6.15
Bavarian Brew recently raised funds in an IPO. Bavarian Brew received €32.25 from the underwriter. The offering price was €38, and the market price dropped to €36.25 on the first day of trading. What is the underwriter's discount?
15.13%
17.83%
11.26%
19.58%
Bavarian Brew recently raised funds in an IPO. Bavarian Brew received €35 from the underwriter, the offering price was €38, and the market price rose to €42 on the first day of trading. What is the spread paid by Bavarian Brew?
7.89%
10.53%
7.14%
11.62%
Smith Enterprises wants to conduct an IPO. The offering price of the stock is €15, the underwriter's discount is 6% and legal and other expenses are estimated to be €1,500,000. How many shares does the company have to issue to net €10,000,000?
666,667
766,667
815,603
526,333
Bonds sold by foreign corporations to US investors are called: