“Comment, question or quotation of the day”
23-03-2018 : Problem for the week end
You are a shareholder of a promising start-up and have subscribed to a convertible bond that will be converted into new shares during the next round of financing at a discount of 15% on the issue price of the shares of that next round of financing. Unfortunately, a material error was made in the minutes of the meeting authorizing the future issue of shares resulting from the conversion of convertible bonds, by providing for a number of shares issued in this respect equal to the number of convertible bonds, and not at that number divided by 1 minus the 15% discount. This kind of thing happens and nobody saw it at the moment. Fortunately for you, the convertible bonds contract is very clear and mention for a conversion of the bonds on the basis of the new share price discounted by 15%. Your lawyer, very embarrassed, offers to correct the situation by converting on the basis of the amount of convertible bonds, increased by 15% and divided by the price of the new shares. What do you think of his/her suggestion? Have a nice day
22-03-2018 : Quote of the day
“Managers and shareholders should remember that accounting supports analysis, but can in no way replace it”
The Vernimmen.com glossary provides definitions for a couple of thousands of financial, stock market or economic terms.
This financial dictionary allows beginners to progress in their learning of finance and to experts to cease the precise meaning of a sentence.
The Vernimmen.com Quiz offers over 300 questions with answers to progress in your understanding of finance and to test your knowledge.
Questions are sorted by key topics (financial analysis, investment and stock markets, value, financial engineering and financial management).
We frequently ask our readers to give us their point of view on a specific topic.
You will find here the current survey with the to-date status of answers as well as past polls.
Thanks to our partner Infinancial, we can offer on this page financial data on over 16 000 groups around the world.
Updated several times a year, this database offers information sometimes hard to find elsewhere (beta, …)
The Vernimmen.com Letter
Number 110 of February 2018
News : Managing the risk, returns and voting rights of a stake in a listed company
Statistics : Exit EBITDA multiples in M&A for 2017
Research : IPOs: the virtues of bookbuilding
Q&A : What is the reinvestment risk for a fixed-interest bond?
COMMENTS : COMMENTS