Answered step by step
Verified Expert Solution
Question
1 Approved Answer
Match Group when public in November 2018. The company sold 33,333,333 shares at $12 per share. The underwriting spread was $.66 a share, and the
Match Group when public in November 2018. The company sold 33,333,333 shares at $12 per share. The underwriting spread was $.66 a share, and the direct expenses were $.21 a share.
a. What was the percentage underwriting spread? (Enter your answer as a percent rounded to 1 decimal place.) Answer is complete and correct. Underwriting spread percentage 5.5 % b. How much did the company raise after all expenses? (Enter your answer in dollars not millions. Round your answer to the nearest dollar.) Answer is complete and correct. Company raised $ 370,999,996 c. On its first day of trading the stock closed at $14.74. Calculate the total dollar cost of underpricing. (Enter your answer in dollars not millions. Round your answer to the nearest dollar.) Answer is complete but not entirely correct. Cost of the underpricing a. What was the percentage underwriting spread? (Enter your answer as a percent rounded to 1 decimal place.) Answer is complete and correct. Underwriting spread percentage 5.5 % b. How much did the company raise after all expenses? (Enter your answer in dollars not millions. Round your answer to the nearest dollar.) Answer is complete and correct. Company raised $ 370,999,996 c. On its first day of trading the stock closed at $14.74. Calculate the total dollar cost of underpricing. (Enter your answer in dollars not millions. Round your answer to the nearest dollar.) Answer is complete but not entirely correct. Cost of the underpricingStep by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access with AI-Powered Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started