Real Options as Signals: Insights from Biotechnology, 19731998: How private placements create a signal for nascent firms, post,Used

Real Options as Signals: Insights from Biotechnology, 19731998: How private placements create a signal for nascent firms, post,Used

In Stock
SKU: DADAX3843352631
Brand: LAP Lambert Academic Publishing
$141.77 $202.53
Save $60.76
Quantity
Add to wishlist
Add to compare

Processing time: 1-3 days

US Orders Ships in: 3-5 days

International Orders Ships in: 8-12 days

Return Policy: 15-days return on defective items

Payment Option
Payment Methods

Help

If you have any questions, you are always welcome to contact us. We'll get back to you as soon as possible, withing 24 hours on weekdays.

Customer service

All questions about your order, return and delivery must be sent to our customer service team by e-mail at yourstore@yourdomain.com

Sale & Press

If you are interested in selling our products, need more information about our brand or wish to make a collaboration, please contact us at press@yourdomain.com

Entrepreneurship is a three part race: finding an opportunity, convincing others to invest, and then executing the opportunity. The 2nd race is especially challenging for knowledge intensive firms, because they possess valuable information that investors do not have, but must be careful revealing the information. One way to do so is through Private placements, which differ from public equity in four key ways. First, only accredited investors (?smart money?) may make the investment. 2nd they are largely illiquid for 30 daystwo years. 3rd investors may conduct a due diligence investigation. Finally, they can demand covenants for their investment.Very importantly, while the information in a private placement is not revealed, the fact that an accredited investor has made an investment is revealed, and other investors can use that information to assess the quality of the focal firm. For nascent firms, it benefits them to do a private placement to a better known investor, even at a discount, as it increases the likelihood of their attracting future financing from other investors. Investor experience, and milestones enhance this effect.

⚠️ WARNING (California Proposition 65):

This product may contain chemicals known to the State of California to cause cancer, birth defects, or other reproductive harm.

For more information, please visit www.P65Warnings.ca.gov.

Recently Viewed