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Generally, a company has an Initial Public Offering in order to raise a good deal of money in order to expand/grow the business. In the IPO prospectus, the company will summarize exactly how they will use the proceeds and what is expected as a result (from a financial standpoint).
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Would it be better for a company to issue shares rather than take out a loan to buy out a company?
A Company shall not issue the shares more than that of it's Authorised capital. It may issue the new shares to the old shareholders of the selling company. A company can purchase another company when it (Purchasing Company) is running in profits only. Then there is no necessity to take bank loans or to issue additional shares for procurement.
Indian IPOs over subscription data from 2004-2008?
Some companies whose IPOs were heavily over subscribed are * Reliance Power * DLF Limited * Rural Electrification Corporation * Indian Bank * etc...
Can a company issue free shares?
Yes it is possible and is called a bonus issue, the company must still fund the issue of the shares out of distributable reserves. Check for treatment on a bonus issue to ensure you use the correct treatment!
Can public company issue debentures?
Yes
Can private company issue debentures?
YES!
What are the different types of IPOs a company can issue?
1. Initial Public Offer 2. Offer for Sale 3. Follow on Offer 4. Rights Issue 5. Preferential Issue
Which is not a part of IPOS?
INFORMATION
What is the plural form of IPO?
It could be IPOs.
What are the advantages and disadvantages of share issue?
One of the biggest disadvantages of share issue for a company is that the company become dependent on the public after the issue. An advantage to share issue is that the company becomes more profitable.
Is it legal for a company not to issue any new capital stock to the public?
There is no requirement for a company to issue capital stock.
Would it be better for a company to issue shares rather than take out a loan to buy out a company?
A Company shall not issue the shares more than that of it's Authorised capital. It may issue the new shares to the old shareholders of the selling company. A company can purchase another company when it (Purchasing Company) is running in profits only. Then there is no necessity to take bank loans or to issue additional shares for procurement.
List the ten largest IPOs in 2008?
#1 Visa $17.9bn
Indian IPOs over subscription data from 2004-2008?
Some companies whose IPOs were heavily over subscribed are * Reliance Power * DLF Limited * Rural Electrification Corporation * Indian Bank * etc...
If considering IPOs are first time public issues of stocks how do companies price them?
The IPO price of a company is based on the companys history, its total assets, its profit making capability, its yearly turn over etc.
What does IPOS stands for?
Initial Public Offering...
Can a company issue free shares?
Yes it is possible and is called a bonus issue, the company must still fund the issue of the shares out of distributable reserves. Check for treatment on a bonus issue to ensure you use the correct treatment!
Can an LLC issue stock?
Corporations issue stock and are owned via stock. An LLC does not issue stock. Like partnerships, an Limited Liability Company is simply owned by the members and/or the managers of the company.
