IPOs and Equity Offerings (eBook)

Ross Geddes (Autor)

eBook Download: PDF

2003 | 1. Auflage
272 Seiten
Elsevier Science (Verlag)
978-0-08-047878-4 (ISBN)

Infos

An initial public offering (IPO) is one of the most significant events in corporate life. It follows months, even years of preparation. During the boom years of the late 1990s bull market, IPOs of growth companies captured the imagination and pocketbooks of investors like never before.

This book goes behind the scenes to examine the process of an offering from the decision to go public to the procedures of a subsequent equity offering. The book is written from the perspective of an experienced investment banker describing the hows and whys of IPOs and subsequent equity issues.

Each aspect of an IPO is illustrated with plenty of international examples pitched alongside relevant academic research to offer a combination of theoretical rigour and practical application.

Topics covered are:
- the decision to go public
- legal and regulatory aspects of an offering, marketing and research
- valuation and pricing
- allocations of shares to investors
- examination of fees and commissions

* Global perpective: UK, European and US practices, regulations and examples, and case studies
* First hand experience written by an IPO trader with academic rigour
* Includes the changes in the market that resulted from 1998-2000 equity boom

Inhalt

Cover 1
Contents 5
Preface 9
About the author 11
1 The decision to go public 13
The company 14
The vendors 15
The investors 15
What is the commonality? 16
Why do companies go public? 18
Capital raising 20
Sale by existing shareholders 22
Advantages and disadvantages of going public 36
What makes a deal successful? 41
2 The players 43
Selecting the lead investment bank 46
The syndicate 50
Other advisors and involved parties 51
Appendix: Selection criteria 54
3 The offering process, part 1 56
Is the company ready to go public? 56
Corporate issues 59
Offering structure 60
Regulators and documentation 66
Marketing 68
Pricing and allocation 69
Aftermarket 70
4 The offering process, part 2 71
Rationale for international offerings 71
Disadvantages of selling shares internationally 75
International investors 76
Price-setting mechanisms 77
5 Determining the value of an IPO company 88
Types of valuation 89
Relative valuations 89
Discounted cash flow valuation 96
Determining the cost of capital 102
Cost of debt 103
Cost of equity 103
Conclusion 106
6 Documentation and due diligence 107
Purposes of documentation 107
Due diligence and verification 120
Appendix: Sample due diligence outline 124
7 UK offerings 127
The British market 127
UK offer structures 128
UK new issue regulations 132
8 US offers and American depository receipts 140
Securities regulation in the USA 141
Private placements vs. public offerings 143
Depository receipts 155
9 Marketing new issues 165
The role of the research analyst 167
Pre-marketing 168
Formal marketing 175
10 Syndication and fees 182
The value of syndication 182
Fees and commissions 191
11 Allocation, stabilization and lockups 203
Allocation 203
Stabilization 217
The lockup period 220
12 Secondary equity offerings 223
Reasons for secondary offerings 224
Rights offerings 225
Marketed offerings 234
Bought deals 236
Accelerated bookbuilding 239
Other forms of offering in the UK 241
Bibliography 243
Useful websites 255
Academic information 255
Stock exchanges 255
Regulators 256
General IPO websites (US oriented unless noted) 256
Index 257

Produkt-Details

• Erscheint lt. Verlag: 6.6.2003
• Sprache: englisch
• Themenwelt: Recht / Steuern ► Wirtschaftsrecht
• Themenwelt: Wirtschaft ► Betriebswirtschaft / Management ► Finanzierung
• Themenwelt: Betriebswirtschaft / Management ► Spezielle Betriebswirtschaftslehre ► Bankbetriebslehre
• Themenwelt: Wirtschaft ► Betriebswirtschaft / Management ► Unternehmensführung / Management
• ISBN-10: 0-08-047878-6 / 0080478786
• ISBN-13: 978-0-08-047878-4 / 9780080478784