The Ann Yak Sion Harware Company

As for the combination of cash and new shares, shareholders can take part of their money

Operating cash flow was not enough to cover capital investments (this firm does not to appear to pay dividends as it does not show in the prior 3 years). The firm is financing it operations from the issuance of common stock. $23,082 was raised during the period, which is covering its investments in capital expenditures.

California Surf Clothing Company issues 1,300 shares of $7 par value common stock at $22 per share. Later in the year, the company decides to repurchase 130 shares at a cost of $35 per share.

After critical examination of the related standards, we conclude that cash, common stock, contingent consideration and replacement stock option awards attributable to pre-combination services should be considered to determine consideration transferred. As a result, total consideration transferred is (in million)

S198A(1): The board of directors has discretion as to when and how to issue shares

Fosun invested $55M in SJKI’s preferred stock, which entitles Fosun to receive a yield of 3%. The total of the accumulated unpaid yields is approximately $30M.

Company issues 15,000 shares of stock @ $200 per share to raise $3,000,000 in capital with 5% return (cost of equity)

b) What will be the total equity value and equity price per share after the issuance is completed?

The statement of cash flows outlines some of the changes to the capital structure. The company added $164.5 million in a consolidated loan facility, and it paid out $138.1 million in dividends. There were no share buybacks during the year. The company states in the annual report (p.4) that it intends to maintain a conservative gearing ratio. The company in this section attributes its increased borrowings to projects and opportunities on which it has embarked. These investments lie within the integrated retail, franchise and property system. One of the

Pro-forma income statement and key credit rating determinants are shown in Exhibit 2 and 3 respectively. Remaining share no. of 158.3m after repurchase is based on proportional value addition distribution between cash-out and remaining shareholders and this number is inserted to calculate earning per share and corresponding immediate share price change after announcement of repurchase program. According to Exhibit 3 and industrial average of relevant grades, only fund flow/ total debt and total debt/ capital measures are not comparable with A credit rating. Considering EBIT and EBITDA interest coverage are two most important criteria and equity market value is so substantially different from book value which leads to a healthy

Explain what shareholders would receive in exchange for (a) old common shares, (b) old class B shares, and (c) old shares held in the employee saving plan.

There are two ways of increasing capital, (1) using debt and (2) issuing new shares. For profitable companies sometimes it is cheaper to use debt instead of issuing new shares since cost of debt is tax shielded. In this case company didn’t have any debt in past which means less default risk, it will affect total value in a positive way. It will decrease the taxes paid and increase net income, accordingly share values.

The share capital of the shipping company can be nominal or the actual amount to be deposited by the promoters for the implementation of the venture. It can be submitted in full or by calls, in cash or the shares can be allocated per value. All classes of shares and with different voting and dividend rights are acceptable. Note that all shares should be nominative and bearer shares are not acceptable.

This is the twelfth H-share issue on the HKEX. Total 1,080 million “H” shares would be offered and the total market capitalization is HK$1,575 million.

are listed in the Kuala Lumpur Stock Exchange under the exchanging code 4065. It likewise