Considerations for an Equity Underwriting on Nasdaq from the Perspective of an Investment Bank

Diploma Thesis from the year 2001 in the subject Business economics - Investment and Finance, Vienna University of Economics and Business (unbekannt), language: English, abstract: Inhaltsangabe:Abstract:
For the past ten years America has enjoyed a remarkably prolonged economic expansion. In 1998 and 1999 the international private investors community as well as institutional fund managers could follow an exceptional internet and e-commerce boom, reflected and followed by rising internet, biotech, pharmaceutical and new economy stocks. Especially Going Publics at that time were highly successful and an exceptionally easy way of raising capital for small and mid cap companies as well as new economy start ups. It must be said that the capital gains for day traders and speculators at that time were of low risk. This new economy boom, which was also called by pros dot com and new economy era ended in 2001, after sharp decreases in stock prices, massive losses on the US stock exchanges for institutional as well as private investors. Most of the dot com companies couldnt perform as they thought and struggled with high debt and losses. From todays perspective one can say that the massive international IPO floatings in the new economy were driven by too high expectations and wrong valuations.
Unfortunately, in Austria, where the financial - and capital markets could be seen as rather thin, small and mid cap companies have not even tried to go public in the United States of America on Nasdaq to raise capital and gain international reputation and size. Nevertheless in the future IPOs are going to become more and more popular and important, also for Austrian companies. The goal of this Masters Thesis is to give Austrian and international operating companies an overview about the Nasdaq, the chances and risks of IPOs on Nasdaq and the important elements for an IPO. This thesis can be seen as equity offering manual for global operating companies that intend to go public o