Question
Dode Industries has hired the investment banking firm of Eric, Schwartz, & Mann (ESM) to help it go public. Dode and ESM agree that Dode's
| Dode Industries has hired the investment banking firm of Eric, Schwartz, & Mann (ESM) to help it go public. Dode and ESM agree that Dode's current value of equity is $60 million. Dode currently has 5 million shares outstanding and will issue 1.8 million new shares. ESM charges a 7% spread. What is the correctly valued offer price? Do not round intermediate calculations. Round your answer to the nearest cent. $ How much cash will Dode raise net of the spread (use the rounded offer price)? Round your answer to the nearest dollar. $ |
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International Trade Finance
Authors: Indian Institute Of Banking & Finance
1st Edition
9386394723, 978-9386394729
