Wesfarmers Limited (Australian listed company: ASX WES) is a key operator in the Australian retail space...
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Wesfarmers Limited (Australian listed company: ASX WES) is a key operator in the Australian retail space and with diverse operations including industrial manufacture, fertilisers and chemicals and LPG distribution, with a market capitalization of around AUD50bn. Due to the recent market instability surrounding the COVID19 pandemic, WES intends to recapitalize through the issuance of $1 billion in corporate bonds into the Australian market. The bonds will have a term to maturity of 7 years and a coupon rate of 6% p.a., with coupons paid semi-annually. Required: As a financial analyst of WES, you are asked to; Wesfarmers Limited (Australian listed company: ASX WES) is a key operator in the Australian retail space and with diverse operations including industrial manufacture, fertilisers and chemicals and LPG distribution, with a market capitalization of around AUD50bn. Due to the recent market instability surrounding the COVID19 pandemic, WES intends to recapitalize through the issuance of $1 billion in corporate bonds into the Australian market. The bonds will have a term to maturity of 7 years and a coupon rate of 6% p.a., with coupons paid semi-annually. Required: As a financial analyst of WES, you are asked to;
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As a financial analyst of WES your tasks would include Assessing the Bond Issuance Evaluate the decision to issue corporate bonds and determine whether it is a suitable method of recapitalization for ... View the full answer
Related Book For
Auditing and Assurance services an integrated approach
ISBN: 978-0132575959
14th Edition
Authors: Alvin a. arens, Randal j. elder, Mark s. Beasley
Posted Date:
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