09 - Equity Financing

Provided by securities issued by companies that have characteristics of both debt and equity.

- Preference shares and convertible securities.

Means of voting in which a designated party is provided with the temporary power of attorney to vote for the signer at the firm's annual meeting.

Right entitling the ordinary shareholder to maintain his or her proportionate share of ownership in the firm.

First public issue of shares and/or debt by a company.

The purchase and subsequent resale by an underwriter of new securities that have been taken up by the public by the closing date of the issue.

Investors who purchase new shares through a prospectus and sell on the first day that the shares are quoted by the stock exchange, in order to make a profit.

Any action of a company that results in a reduction of ordinary shareholders interests.

- if new shares are issued but not made available to current shareholders.

An issue of rights to existing shareholders.

Price paid for the purchase of an ordinary share which includes the right to subscribe for an announced new share issue.

Price paid for the purchase of an ordinary share which excludes the right to subscribe to a new share issue that has recently closed.

Offer of financial securities directly to selected potential purchasers, in contrast to a public offering.

Debt or preference shares that can be converted to ordinary shares by the holder subject to specified conditions.

Term applied to a convertible security for the price it would sell for in the absence of its conversion feature.

Value of the shares for which a convertible security can be exchanged.

Price paid by purchasers of a convertible security for the option to convert to shares.