Register
In a _________, the underwriters agree to make an attempt to sell the IPO for the firm. If the underwriter can get enough investor commitments then the IPO will occur. If sufficient investor interest does
143k views
2 votes
In a _________, the underwriters agree to make an attempt to sell the IPO for the firm. If the underwriter can get enough investor commitments then the IPO will occur. If sufficient investor interest does not exist the issue may be canceled

User Huazuo Gao
by
5.2k points

1 Answer

3 votes

Answer:

best efforts

Step-by-step explanation:

As it name suggests, a best efforts IPO takes place when an underwriter cannot commit completely to a client because the market interest in the firm is not certain. So the underwriter "promises" to make its best effort to carry out a successful IPO, but cannot guarantee it. On the other hand, when the market interest is very large, underwriters themselves purchase the entire IPO through a firm commitment IPO.

User Brit Mansell
by
4.8k points
Ask a Question
Welcome to QAmmunity.org, where you can ask questions and receive answers from other members of our community.

5.6m questions

7.3m answers

Other Questions

On august 1 the darius co. purchased a photocopy machine for $8,000. the estimated annual depreciation on the machine is $1,680. if the company prepares annual financial statements on december 31, the
When president obama was elected, the u.s. economy was in trouble, and has slid into a recession. consumer spending was low and getting worse. in an effort to stop the decline, president obama proposed
Ensuring that an individual is who they claim to be is the function of _____. select one: a. confidentiality b. authorization c. availability d. authentication e. nonrepudiation
The current market price for good y is above the equilibrium price, and then the price of a subsitute good, x, increases. the demand curve for good y shifts as a result. what is the likely outcome of the
How do i figure out a months ending capital
Link Copied!