

Save Money on our Packages:
|
Primer on Pricings of IPO’s
The intended result of this 13 page white paper is to briefly outline the IPO process and to enhance the understanding of the impact of the most recent NASD concept propositions (still under review). NASD has proposed (although not formally, just now out for comment) initially three changes:
One idea is to require that all prospectuses for new offerings include an opinion from an independent broker saying that the price is reasonable.
Another proposal would require that the prospectus disclose more information to show the valuation process that was employed to set the price. That could include such information as the company's estimate of its earnings over the next year. Such information is often given to institutional investors at the road show promoting an offering, but is not shared with the public.
An idea that goes in a completely different direction is to encourage the use of Dutch auctions, in which investors indicate how many shares they want at different prices, and the offering is priced to sell all the shares at the highest amount the company can get.
While not exhaustive, it's an overview that can’t be missed!
Want to know more?
Download the White Paper "Primer on Pricings of IPO’s" for just $19.95.
|

|