UK v Domestic Flashcards
1
Q
Deciding between UK v Domestic
A
- Consider if they have presence/customer base in overseas market – carrying out global offer there may increase the company’s profile further in these markets
- Additional interest in fundraising from overseas investors should also increase the price at which shares are sold to investors.
- If, for the reasons set out above, a company believes it will appeal to a broad range of investors, it may decide to offer its shares to the public in a retail offering (otherwise known as a public offer).
- A retail offering will often include two elements: an offer for subscription (in which new shares are sold to the public) and an offer for sale (in which existing shares are sold by existing shareholders to the public).
- There are additional structures, which can be used in connection with institutional offers (i.e. offers to more sophisticated investors) including placings.