Calculate the gross proceeds needed from an


Use the following information for questions

A company is planning to go public. Currently, the pre-IPO value of the firm's equity is $95 million, the number of outstanding shares is 3.5 million, the company need to raise $17 million, and the floatation
cost of new equity is 12%.

1. Calculate the gross proceeds needed from an IPO given the following information.

2.
Part a What is the post-IPO equity value?

Part b What is the offer price?

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Business Management: Calculate the gross proceeds needed from an
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