Revisiting “Truth in Securities Revisited”: Abolishing IPOs and Harnessing Private Markets in the Public Good A.C. Pritchard* Abstract: This essay explores the line between private and public markets. I propose a two‐tier market system to replace initial public offerings. The lower tier would be a private market restricted to accredited investors; the top tier would be a public market with unlimited access. The transition between the two markets would be based on
Premium Initial public offering Stock exchange Stock market
Case (1):The Blackstone Group’s IPO 1. What are the built-in tensions with a public private equity firm? How does Blackstone’s structure attempt to reconcile them? 2. If you were an LP in Blackstone‚ how would you view the structure Blackstone has put in place to go public? 3. Would you rather be a unitholder in Blackstone or an LP? 4. As a potential employee‚ how you evaluate the Blackstone compensation package against a commensurate offer from a similar large-scale private equity firm that
Premium
of better returns. Most of the respondents feel better investing in IPO’s than investing on shares in secondary market‚ because they are satisfied with the returns and the security to their investment. INTRODUCTION Initial public offering (IPO) refers to the offering of stock in a company to the public through the public market. In financial markets‚ an initial public offering is the first sale of a company ’s common shares to public investors. The company usually issues primary shares‚ but
Premium Stock market Stock Stock exchange
IPO Process Stock offered to public Approval by SEBI Draft Offer document filed with SEBI Negotiate the deal Investment Bankers (Underwriters) Company
Premium Initial public offering Stock Underwriting
JetBlue IPO WACC The estimation of cost of capital for JetBlue proved to be a difficult process. Considering the company has an unfavorable capital structure‚ due to the fact that they are acquiring a large number of aircrafts‚ simply taking the weights of debt and equity are not acceptable. In order to accurately judge the discount rate the multiples method is necessary. The comparison was to a leading low-fare airline company‚ Southwest. Another critical point is that taking the book
Premium Discounted cash flow Weighted average cost of capital Finance
it’s full course ” - George Soros raising over $210 million in share capital. Final share price was $14 per share – 2 Dec 2010 successfully raised US$75 million at a placing price of 115 pence per share – 23 July 2013 could be the LARGEST U.S. IPO in history “ We’re not investing in football ‚ we’re investing in entertainment” - Jack Ma WHY did both Tony and Jack Ma invested in sports ? THE ROME EMPIRE WASN’T BUILT IN A DAY *slides contents and images displayed are for case
Premium Investment United States dollar Stock market
United Parcel Service’s IPO Question 1: What are the key success factors and risks for UPS given its business strategy? In the package-delivery industry timely‚ accurate and competitively priced services are the key success factors. With over 13 million packages delivered each business day‚ UPS had drastically invested in technology‚ which had played an important role on its growth. UPS’s well developed computer systems had ensured to UPS customers an excellent service which fulfils its customer
Premium United Parcel Service United States Postal Service Courier
According to Brau and Fawcet (2004)‚ the most common reason CFOs choose to provide an IPO on their firm is to create public shares for use in future acquisitions. While Rosetta Stone may not have immediate acquisition plans‚ the public offering of their shares will provide new capital for them to continue to expand. Only 5% of their revenue comes from outside of the United States‚ and with increased capital from an IPO‚ Rosetta Stone can look to pursue new markets (Schill‚ 2009). Whether they plan to
Premium Weighted average cost of capital Stock market Initial public offering
DATE: 02/05/09 BAIDU.COM‚ INC.: VALUATION AT IPO Since its official launch in January 2000‚ Baidu.com‚ Inc. (Baidu) quickly grew to become the leading Internet search engine in China. After three rounds of private funding‚ Baidu registered to go public on the NASDAQ Stock Market (Ticker Symbol: BIDU) on August 5‚ 2005. (See Exhibits 1 and 2 for a listing of Baidu’s private funding sources and pre-IPO share allocations.) The initial public offering (IPO) turned out to be one of the highest-profile
Premium Web search engine Google search Internet
COM340 | Lena Nabha | Google’s Success Google is certainly the top search engine that exists and it has made our life easier. What makes Google so successful? Google Inc.‚ beginning from merely a smart algorithm‚ has established an entirely new business model‚ has advanced in a few years the world leading search engine‚ has develop successful applications as Google Earth‚ Google Video‚ Google Maps‚ Gmail‚ and is enjoying a huge achievements. Google‚ beginning from nothing‚ has accomplished the
Premium Google Yahoo!