What is the maximum number of secondary shares you could sell and still retain more than 50%
Question:
What is the maximum number of secondary shares you could sell and still retain more than 50% ownership of the firm? How much would the firm raise in that case?
The firm you founded currently has 12 million shares, of which you own 7 million. You are considering an IPO where you would sell 2 million shares for $20 each.
Fantastic news! We've Found the answer you've been seeking!
Step by Step Answer:
Answer rating: 50% (8 reviews)
12 million shares of which you own 7 million You are considering an IPO where you woul...View the full answer
Answered By
Muhammad Umair
I have done job as Embedded System Engineer for just four months but after it i have decided to open my own lab and to work on projects that i can launch my own product in market. I work on different softwares like Proteus, Mikroc to program Embedded Systems. My basic work is on Embedded Systems. I have skills in Autocad, Proteus, C++, C programming and i love to share these skills to other to enhance my knowledge too.
3.50+
1+ Reviews
10+ Question Solved
Related Book For
Question Posted:
Students also viewed these Corporate Finance questions
-
What is the maximum number of shares a company may legally issue?
-
What is the maximum number of PRIMARY KEY constraints allowed for a table? a. 1 b. 2 c. 30 d. 255
-
What is the maximum number of rows that can be deleted from a table at one time? a. 1 b. 2 c. 3 d. Unlimited
-
(b) (i) A long single mode optical fiber has an attenuation of 0.40 dBkm when operating at a wavelength of 1.55 m. The fiber core diameter is 6 pm and the laser source bandwidth is 500 MHz. Determine...
-
Yorgi purchases qualified small business stock in Gnu Company, Inc., on September 15, 2008, for $50,000. She sells the shares for $400,000 on December 30, 2016. The stock retains its qualified small...
-
A truck transporting material to a factory requires 1 9 0 litres of gas for every trip to cover 1 , 5 0 0 km . How many litres of gas will it require to cover 1 , 9 5 0 km ?
-
A survey indicates that for each trip to a supermarket, a shopper spends an average of 43 minutes with a standard deviation of 12 minutes in the store. The lengths of time spent in the store are...
-
Cassidy Manning is assistant controller at LeMar Packaging, Inc., a manufacturer of cardboard boxes and other packaging materials. Manning has just returned from a packaging industry conference on...
-
Nike had sales of $44.487 billion in 2021. Suppose you expected its sales to grow at a rate of 18% in 2022, but then slow by 3% per year to the long-run growth rate that is characeristic of the...
-
Mr B aged 52 years, has earned rupees 75,00,000 out of his business. His ex-wife gifted him a car worth rupees 8 lakh. He spent a total of rupees 20 lakh during a family trip. He won a lottery of 16...
-
If all of the shares sold are from your holdings, how much will the firm raise? What will your percentage ownership of the firm be after the IPO? The firm you founded currently has 12 million shares,...
-
On January 20, Metropolitan, Inc., sold 8 million shares of stock in an SEO. The market price of Metropolitan at the time was $42.50 per share. Of the 8 million shares sold, 5 million shares were...
-
Each node of a singly linear linked list must contain at least.. A. Three fields B. Two fields C. Six fields D. Five fields
-
Show that \(2 x^{2}\) is an antiderivative of \(4 x\).
-
Table 18.5 shows the gross national product (GNP) in trillions of dollars for the years 1960-2012. Find the average yearly rate of change of the GNP for the requested years in Problems 19-26. Table...
-
Show that \(x^{2}\) is an antiderivative of \(2 x\).
-
In Problems 21-38, guess the requested limits. \(\lim _{n ightarrow \infty} \frac{2 n}{n+4}\)
-
In Problems 21-38, guess the requested limits. \(\lim _{n ightarrow \infty} \frac{n+1,500}{n+21,300}\)
-
If a cup of coffee costs 2 euros in Paris and $6 in New York and purchasing-power parity holds, what is the exchange rate? a. 1/4 euro per dollar b. 1/3 euro per dollar c. 3 euros per dollar d. 4...
-
d) For die casting processes: 1. What are the most common metals processed using die casting and discuss why other metals are not commonly die casted? 2. Which die casting machines usually have a...
-
Let (A) Form the augmented matrix [M | I]. (B) Use row operations to transform [M | I] into [I | B]. (C) Verify by multiplication that B = M 1 (that is, show that BM = I). M= = 3 1 1 -1 1 10 0 1
-
Sustainable Growth assuming the following ratios are constant, what is the sustainable growth rate? Total asset turnover = 1.90 Profit margin= 7.6% Equity multiplier = 1.40 Payout ratio = 40%
-
Full-Capacity Sales Seaweed Mfg., Inc., is currently operating at only 90 percent of fixed asset capacity. Current sales are $610,000. How fast can sales grow before any new fixed assets are needed?
-
Fixed Assets and Capacity Usage For the company in the previous problem, suppose fixed assets are $470,000 and Sales are projected to grow to $710,000. How much in new fixed assets are required to...
-
Accounts Cash Accounts Receivable Supplies Prepaid Rent Buildings Accumulated Depreciation Accounts Payable Salaries Payable Utilities Payable Adjusted Trial Balance December 31, 2024 Debits Credits...
-
Graph f(x). - X, for x < 1 f(x) = 3, for x=1 x+1, for x> 1
-
x-8x+15 A) Let f(x) = = x2+2x-15 Calculate lim f(x) x 3 2x225x75 B) Let f(x) = x-18x45 Calculate lim f(x) x 15
Study smarter with the SolutionInn App