What is the relevance of an initial public offering, Business Management

Assignment Help:

Question:

(a) What is the relevance of an Initial Public Offering (IPO) for an Internet startup?

(b) Consider the following extract from Google's IPO filing document (Form S-1) with the Security and Exchange Commission in the US, 29th April 2004

The auction process being used for our initial public offering differs from methods that have been traditionally used in most other underwritten initial public offerings in the United States. In particular, the initial public offering price and the allocation of shares will be determined primarily by an auction conducted by our underwriters on our behalf. We plan to conduct this auction in five stages-Qualification; Bidding; Auction Closing; Pricing; and Allocation.

(i) In what way was Google's IPO different from the conventional process and what could have been the motivation behind it?

(ii) What might be the possible reasons for the differential between an Internet startup's book value and its market value? (You may assume that the market value is generally much larger than the book value for a promising startup company).


Related Discussions:- What is the relevance of an initial public offering

What conclusions can you draw, QUESTION (i) Write short notes on a. ...

QUESTION (i) Write short notes on a. Callable Bonds b. Yield to Maturity c. Zero-Coupon Bonds (ii) Consider a bond with a 12% coupon rate and paying interest semi-a

Different stages of team development, QUESTION (a) What are the differe...

QUESTION (a) What are the different stages of team development and elaborate on each of them and explain the importance of each of these stages. (b) The ‘reflective thinking

Leadership consists, Leadership consists: Leadership happens when peop...

Leadership consists: Leadership happens when people push, cajole, and influence others to work towards the achievement of a specific objective. That distinguishes leadership w

Explain the importance of good communication, Question 1: (a) Explain t...

Question 1: (a) Explain the importance of good communication in your organisation or in any organisation of your choice. (b) Describe the major barriers to good communicati

Development of individuals over the whole life span, QUESTION 1 (a) Des...

QUESTION 1 (a) Describe the process of growth and development of individuals over the whole life span, highlighting the various milestones (b) Which period would you conside

Accident control or prevention, Accident Control or Prevention Acciden...

Accident Control or Prevention Accident  prevention  involves removal  or control  of hazards. It  both  science and  art. It represents  above  all other  things  control  of

What skills are the required of a successful manager, What skills are the r...

What skills are the required of a successful manager? Skills needed of a Successful Manager are as follows: The skills needed of a successful manager, while he is working in

Explain what you understand by the term planning, Question : According ...

Question : According to Henry Fayol, planning is the primary function of managers in an organization. However, there is no empirical evidence that organizations that plan are

DIESEAL, critically analyse diesel''''s marketing mix strategies

critically analyse diesel''''s marketing mix strategies

Finance, What are three short-term financing and their examples?

What are three short-term financing and their examples?

Write Your Message!

Captcha
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!

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