Logo
Home Study Material Contact Search
AI Chat FREE
  1. business
  2. finance
  3. begin by navigating to the sec edgar web site, whi

Begin by navigating to the SEC EDGAR Web site, which provides access to company filings:...

80.2K

Verified Solution

Question

Finance

Begin by navigating to the SEC EDGAR Web site, which provides access to company filings: https://www.sec.gov/edgar.shtml. Choose Search for Company Filings and pick search by company name. Enter Facebook and then search for its IPO prospectus, which was filed on the date of the IPO and is listed as filing 424B4 (this acronym derives from the rule number requiring the firm to file a prospectus, Rule 424(b) (4)). From the prospectus, calculate the following information:

a. The underwriting spread in percentage terms. How does this spread compare to a typical IPO?

b. The fraction of the offering that comprised primary shares and the fraction that comprised secondary shares.

c. The size, in number of shares, of the greenshoe provision. What percent of the deal did the greenshoe provision represent?

Answer & Explanation Solved by verified expert
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students