Question
Raybac is about to go public. Its present stockholders own 430,000 shares. The new public issue will represent 950,000 shares. The shares will be priced
Raybac is about to go public. Its present stockholders own 430,000 shares. The new public issue will represent 950,000 shares. The shares will be priced at $35 to the public with a 12% spread. The out-of-pocket costs in addition to the spread will be $490,000. What are the net proceeds to Raybac?
Multiple Choice
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$28,770,000
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$28,775,000
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$-4,484,965
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$28,785,000
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International Finance Theory And Policy
Authors: Paul R. Krugman, Maurice Obstfeld, Marc J Melitz,
11th Edition
013451954X, 9780134519548
