Corporate Finance In Reddit’s IPO, shares were issued at $34, and increased 48% that day, closing at $50.44.Would you expect founders to be upset at the underwriters given that they, personally, would havereceived more dollars if the underwriters had set the issuance price higher? Explain
Corporate Finance In Reddit’s IPO, shares were issued at $34, and increased 48% that day, closing at $50.44.Would you expect founders to be upset at the underwriters given that they, personally, would havereceived more dollars if the underwriters had set the issuance price higher? Explain
Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
Problem 1PS
Related questions
Question
In Reddit’s IPO, shares were issued at $34, and increased 48% that day, closing at $50.44.
Would you expect founders to be upset at the underwriters given that they, personally, would have
received more dollars if the underwriters had set the issuance price higher? Explain
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