IPO is underwritten by
Ancestry.com became a publicly traded company on NASDAQ (symbol: ACOM)
on November 5, 2009, with an initial public offering of 7.4 million shares priced at $13.50 per share, underwritten by Morgan Stanley, Bank of America, Merrill Lynch, Jefferies & Company, Piper Jaffray, and BMO Capital Markets.[26] https://en.wikipedia.org/wiki/Ancestry.com What does underwritten mean here? I see it all the time wrt IPOs. Underwriters are used for insurance because someone has to agree to pay if there is a large claim or a slew of smaller claims. But IPO's take in money. What are those 4 companies underwriting, what are they doing? Why can't some bookkeeping company with no assets just sell the stock and take in the money for ancestry.com? |
IPO is underwritten by
On Wednesday, February 3, 2021 at 1:18:51 AM UTC-5, micky wrote:
Ancestry.com became a publicly traded company on NASDAQ (symbol: ACOM) on November 5, 2009, with an initial public offering of 7.4 million shares priced at $13.50 per share, underwritten by Morgan Stanley, Bank of America, Merrill Lynch, Jefferies & Company, Piper Jaffray, and BMO Capital Markets.[26] https://en.wikipedia.org/wiki/Ancestry.com What does underwritten mean here? I see it all the time wrt IPOs. Underwriters are used for insurance because someone has to agree to pay if there is a large claim or a slew of smaller claims. But IPO's take in money. What are those 4 companies underwriting, what are they doing? Why can't some bookkeeping company with no assets just sell the stock and take in the money for ancestry.com? They are the group of investment bankers that agreed to take it public at $13.50 a share, that will offer the IPO to their best customers, that will make a market in it, stand behind it to make sure it goes up in price and is successful. They are endorsing it with their firm's reputation. Some bookkeeping company can't do that, because among other things, it's illegal, there are laws and requirements governing dealing in publicly traded stocks. |
IPO is underwritten by
micky wrote
Ancestry.com became a publicly traded company on NASDAQ (symbol: ACOM) on November 5, 2009, with an initial public offering of 7.4 million shares priced at $13.50 per share, underwritten by Morgan Stanley, Bank of America, Merrill Lynch, Jefferies & Company, Piper Jaffray, and BMO Capital Markets.[26] https://en.wikipedia.org/wiki/Ancestry.com What does underwritten mean here? I see it all the time wrt IPOs. It means that the if the general public chooses not to buy all the shares at the issue price, the underwriter is obliged to buy all the shares that the public doesn't want. https://en.wikipedia.org/wiki/Underw...s_underwriting Underwriters are used for insurance because someone has to agree to pay if there is a large claim or a slew of smaller claims. But IPO's take in money. What are those 4 companies underwriting, what are they doing? See above. Why can't some bookkeeping company with no assets just sell the stock and take in the money for ancestry.com? That doesn't raise as much money if the stock isnt popular. |
More Heavy Trolling by Senile Nym-Shifting Rodent Speed!
On Thu, 4 Feb 2021 04:29:41 +1100, cantankerous trolling geezer Rodent
Speed, the auto-contradicting senile sociopath, blabbered, again: FLUSH the trolling senile pest's latest troll**** unread -- Keema Nam addressing nym-shifting senile Rodent: "You are now exposed as a liar, as well as an ignorant troll." "MID: .com" |
IPO is underwritten by
"trader_4" wrote in message ... On Wednesday, February 3, 2021 at 1:18:51 AM UTC-5, micky wrote: Ancestry.com became a publicly traded company on NASDAQ (symbol: ACOM) on November 5, 2009, with an initial public offering of 7.4 million shares priced at $13.50 per share, underwritten by Morgan Stanley, Bank of America, Merrill Lynch, Jefferies & Company, Piper Jaffray, and BMO Capital Markets.[26] https://en.wikipedia.org/wiki/Ancestry.com What does underwritten mean here? I see it all the time wrt IPOs. Underwriters are used for insurance because someone has to agree to pay if there is a large claim or a slew of smaller claims. But IPO's take in money. What are those 4 companies underwriting, what are they doing? Why can't some bookkeeping company with no assets just sell the stock and take in the money for ancestry.com? They are the group of investment bankers that agreed to take it public at $13.50 a share, that will offer the IPO to their best customers, that will make a market in it, Yes. stand behind it to make sure it goes up in price and is successful. That isnt always possible, or legal. They are endorsing it with their firm's reputation. Nope, just end up with some of the stock if not enough want it at the offer price. Some bookkeeping company can't do that, because among other things, it's illegal, there are laws and requirements governing dealing in publicly traded stocks. Those apply to the underwriters too. |
Lonely Obnoxious Cantankerous Auto-contradicting Senile Ozzie Troll Alert!
On Thu, 4 Feb 2021 05:33:20 +1100, cantankerous trolling geezer Rodent
Speed, the auto-contradicting senile sociopath, blabbered, again: FLUSH the trolling senile asshole's latest troll**** unread -- Website (from 2007) dedicated to the 86-year-old trolling senile cretin from Oz: https://www.pcreview.co.uk/threads/r...d-faq.2973853/ |
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