User Account

All Pages

Rights issues

Assignment Help Finance Basics
Reference no: EM13316526

QUESTION 3: RIGHTS ISSUES

The Argosy Property Ltd of New Zealand issued the following capital raising presentation document. 
https://www.argosy.co.nz/sites/default/files/pdfs/2013%2007%2001%20-%20Argosy%20Market%20Announcement%20Presentation.pdf

The company also followed this with a formal Rights issue prospectus. 
https://companyresearch.nzx.com.ezproxy.aut.ac.nz/deep_ar/newpage.php?pageid=event&default=ARG

Read the contents of both documents and answer the following:

3.1 Provide comments on the rationale provided for the issue.
3.2 Specify the terms of the issue, the anticipated ex-rights price and calculate the value of a right
3.3 The Prospectus suggests that for ‘eligible shareholders' there are four different 
actions available:
3.3.1 Take up all Rights
3.3.2 Sell all Rights
3.3.3 Take up some of the Rights and sell the balance
3.3.4 Do nothing

Assuming you hold 7000 shares in Argosy Property Ltd, evaluate your wealth position if you opt for each of the actions suggested above

Reference no: EM13316526

Questions Cloud

Decrease employee motivation or productivity : Determine how you might reduce involuntary turnover if you were the top human resource manager. Recommend two ways to control compensation costs that do not decrease employee motivation or productivity.
Financial statement analaysis : Using the latest consolidated financial statements of Briscoes Ltd critically analyse the claims made by the company with supporting computations. Are the claims made in the report realistic?
Ethical standards-decision-making approach : Describe how a company’s ethical standards are aligned with its decision-making approach(es) and how you would be certain that ethical decisions were being made. From the perspective of the executive suite, prioritize three of the responsibilities of..
Building a data base application for a bicycle rental shop : Need help with building a data base application for a bicycle rental shop. Assume the database is to track customers, bicycles and rentals.What are the steps needed to develop this application. Specify entities and their relationships. Buila a entity..
Rights issues : Assuming you hold 7000 shares in Argosy Property Ltd, evaluate your wealth position if you opt for each of the actions suggested above
Valuation of company shares : Access the following site through the AUT library website (search for finance data bases or directly click on the link below) NZX Company Research-includes Capital Raisings Database
Capital expenditure decisions : Determine the investment's net present value, the internal rate of return, payback period and the discounted payback period. All key assumptions should be specified and explained and an interpretation provided of results for each of the investment cr..
Divergence of the constant-density momentum equation : Derive a Poisson equation for pressure by taking the divergence of the constant-density momentum equation. What role does viscosity play in determining the pressure in constant density flow?
What are the benefits of reduction in force : What are the benefits of across-the-board pay cuts? What are the benefits of reduction in force (mass layoffs)? How would you advise this Japanese expartriate working in the United States.

Reviews

Write a Review

Finance Basics Questions & Answers

  Financial reporting and analysis

Finance is about Gunns Ltd, a company in dealing with forestry products in Australia. The company has also been listed in Australian Stock Exchange. As many companies producing forestry products, even Gunns Ltd is facing various problems. Due to the ..

  A report on financial accounting

This report is specific for a core understanding for Financial Accounting and its relevant factors.

  Describe the types of financial ratios

Describe the types of financial ratios and other financial performance measures that are used during venture's successful life cycle.

  Differences between sole proprietorship and corporation

Briefly describe the major differences between a sole proprietorship and a corporation

  Prepare a cash budget statement

Calculate the expected value of the apartment in 20 years' time. What is the mortgage loan repayment at the beginning of each month

  What are the implied interest rates

What are the implied interest rates in Europe and the U.S.?

  State pricing theory and no-arbitrage pricing theory

State pricing theory and no-arbitrage pricing theory

  Small business administration

Identify the likely stage for each venture and describe the type of financing each venture is likely to be seeking and identify potential sources for that financing.

  Effect of financial leverage

The Effect of Financial Leverage and working capital management

  Evaluate the basis for the payment to the lender

Evaluate the basis for the payment to the lender and basis for the payment to the company-counterparty.

  Importance of opps, ipps, mpfs and dmepos

Research and discuss the differences and importance of : OPPS, IPPS, MPFS and DMEPOS.

  Time value of money

Time Value of Money project

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

Submit Assignment

Academics

Major Subjects

Majors

Get In Touch

whatsapp: +1-415-670-9521

Phone: +1-415-670-9521

Email: [email protected]

TERMS & POLICIES

HELP & SUPPORT

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd