Essentials of Corporate Finance
Essentials of Corporate Finance
8th Edition
ISBN: 9780078034756
Author: Stephen A. Ross, Randolph W. Westerfield, Bradford D. Jordan
Publisher: MCGRAW-HILL HIGHER EDUCATION
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Chapter 15.6, Problem 15.6ACQ
Summary Introduction

To think critically about: The possible reasons for the drop in the stock price at the time of the announcement of the new equity issue.

Introduction:

The security that is registered and issued and is also being sold in the securities market to the public for the first time is the new issue. The initial public offerings are also a new issue.

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