Case 2 - Initial Public Offering-Company Selected is Toyota Background: Introduction of company. What business is the company in? When was the company established? 1. When did the company go public? Why did the company decide to go public (what did the company plan to do with the funds raised)? 2. What exchange lists the stock? Why did the company decide to list on that exchange? What is its stock symbol? 3. Who was the investment banker? Why did the company choose that investment banker? Was IPO done on an underwritten or best efforts basis? How much was paid (in $ and in % of IPO) to the investment banker (this is sometimes called underwriting discounts/underwriting commissions)? 4. How many shares were issued? What portion of the company did insiders retain? 5. What was the offer price per share? How was the offer price decided? How much money was raised? 6. Has stock price changed since IPO? What was the price at end of first day? Estimate the underpricing (amount of money left on the table); express it as a %. What is the current price? 7. Anything else that you think is interesting about the IPO Bibliography: