nestel harward case study Essay

Net Sales – totaled $4,485,000.00 for year 6, and grew +33.3% or $1,495,000.00 between years 6 to 7.

6. As an executive of Netscape, what would you recommend with respect to the proposed offering price? As an investor in Netscape, what would you recommend? AS a manager of an institutional fund who is willing to buy and hold Netscape’s stock at the originally proposed price of $14 per share, would you be willing to buy and hold at an initial offer price of $28.

3. SciTronics had a total of $75000 of capital at year-end 2008 and earned, before

The main source of cash is A/R. In 1991 the company also gathered $23M issuing stock.

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.

The bond principal repayment will be $6.25 million annually. The cash dividends will be $7.5 million annually on additional stock.

2. New bank credit facility, 600 million cash on hand to take advantage of opportunities that may arise

6.4. The multiples give a valuation range of $91.85 to $148.23. The EPS and Sales multiples are close to the industry average giving a range value very close to the offer price - $91.85-$95.09. The EPS and Book value are very much affected by the leverage structure and thus may be not a true representation.

a) How many shares will the firm have to issue, assuming they issue the new shares at the current price per share?

As of January 30, 2009, the Company had cash and short-term investments of $1.9 billion and long-term debt of $3.7 billion, including current maturities of approximately $200 million. Capital expenditures for the first quarter were $269 million, in line with expectations, with the majority of spending related to the construction of new stores and the renovation of existing stores. Merchandise inventories ended the quarter at $3.7 billion, reflecting increases associated with 54 new stores opened since last year’s first quarter.

1991 public stock offering had been sufficient to meet its financing needs. As of 2012, the capital

1994 Liabilities and Equity Short-term borrowings Accounts payable Progress collections and price adjustments accrued Dividends payable Taxes accrued Other costs and expenses accrued Current liabilities Long-term borrowings Other liabilities Total liabilities Minority interest in equity of consolidated affiliates Preferred stock Common stock Amounts received for stock in excess of par value Retained earnings Deduct common stock held in treasury Total shareowners’ equity Total liabilities and equity $644.9 696.0 1,000.5 72.8 337.2 1,128.1 $3,879.5 1,195.2 518.9 5,593.6 $ 71.2 $ — $465.2 414.5 3,000.5 $3,880.2 (175.9 ) $3,704.3 $9,369.1 $665.2 673.5 718.4 72.7 310.0 1,052.6 $3,492.4 917.2 492.1 4,901.7 50.1 — $463.8 409.5 2,683.6 $3,556.9 (184.5 ) $3,372.4 $8,324.2 $ $120.6 376.2 300.5 58.7 318.3 392.6 $1,566.9 364.1 221.0 2,152.0 41.4 — $455.8 266.9 1,384.5 $2,107.2 — $2,107.0 $4,300.6 1993 1985

13.4 million new ordinary shares of RM 0.50 each for private placement to selected investors.

significant drop in the revenues for third quarter of 1999. Annual revenues for 1999 were US$ 150

1.One being an IPO offering, requiring the sale of less than 9% of the company. This offering will be for 3.5 million shares, with an expected sale price at between $14 and $18 per share.