Management and Organizational Studies 1023A/B Lecture Notes - Lecture 7: Initial Public Offering, Venture Capital Financing, Morgan Stanley

• School: Western University
• Department: Management and Organizational Studies
• Course: Management and Organizational Studies 1023A/B
• Professor: Barry Hawn

Document Summary

Venture capital (angel investors: venture capitalists are individuals or firms that help new businesses get started and provide much of their early-stage financing. Initial public offering: selling common stock in an initial public offering (ipo) Investment-banking services: to complete an ipo, a firm will need the services of investment bankers, who are experts in bringing new securities to the market (eg. morgan stanley) require expertise to perform. Investment bankers provide three basic services when bringing securities to market : origination, underwriting, distribution. Investment bankers hold due-diligence meetings to protect their reputations and to reduce the (cid:396)isk of i(cid:374)(cid:448)esto(cid:396)s" la(cid:449)suits i(cid:374) the e(cid:448)e(cid:374)t the i(cid:374)(cid:448)est(cid:373)e(cid:374)t goes sou(cid:396) late(cid:396) o(cid:374). Private markets: many private companies that are owned by entrepreneurs, families, or family foundations, are sizable companies of high credit quality, prefer to sell their securities in the private markets even though they can access public markets.