Question
Initial Public Offerings Lightning Corp. has recently completed its Initial Public Offering. The stock was offered at a price of $14 per share. On the
Initial Public Offerings
Lightning Corp. has recently completed its Initial Public Offering. The stock was offered at a price of $14 per share. On the first day of trading, the stock closed at $19 per share.
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What was the initial return on Lightning Corp. stocks?
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Who benefited from this underpricing?
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Who lost from the underpricing, and why?
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Computational Techniques In Economics And Finance
Authors: Constantin Zopounidis
1st Edition
1613245580, 978-1613245583
