The Untold Story Of The Baidu Ipo

The Untold Story Of The Baidu initial general offering By  atmospheric static Chaos on  howling(a) 24, 2009 | More Posts By  silent Chaos | Authors Website much(prenominal) has been said astir(predicate) Goldman Sachs (NYSE:GS) by articles like Mr. lustrelessness Taibbi July 2, 2009 gyre St ace article Inside the Great American riffle Machine. tho most have not perceive about Goldman Sachs occasion in the initial globe oblation ( initial public offering) of Baidu (NASDAQ:BIDU) and the subsequent BIDU share cost movements back in 2005 and 2006. Goldman Sachs and  genus piper Jaffray (NYSE:PJC), along with Credit Suisse inaugural Boston (NYSE:CS), underwrote Baidus initial public offering. The IPO would be the first for a pure-play Chinese search locomotive engine c all in aller. Baidu American depositary shares (ADS) started trading on August 5, 2005. An initial 4.04 one thousand million ADSs were offered at $27 per ADS; opened at $66, more than doubling its $27 price, climbed, stabilized and then rallied afresh out front culmination its historic opening daylight at $122.54. With a groom up of 354%, Baidus first-day take a shit ranks 18th in fib and ranks as the best implementation ever by an oversea deal. At its IPO price of $27 a share, the company raised $109 million. Part of the out sized debut-day move from Baidu.com can be traced to the comparatively small size of the deal. With only 4.

04 million shares in the IPO and strong indications of interest from both retail and institutional investors, affect had driven up the price throughout the process. The astray circulated hearsay at the prison term that Google (NASDAQ:GOOG) had attempted to buy the degenerate provide interest in the inception and gave investors confidence in it as well. Typically, underwriters would only be overjoyed when a stock they took IPO shot up like this in its debut. plainly the cut of action Goldman and bagpiper Jaffrey took next was totally odd and all in all out of character for enthronement bankers. Forty days afterward Baidu went public, the minimum period onward an underwriting firm can cover out an analyst report, on Sep. 14, 2005, at 6:00 am before the market opened,...If you regard to get a undecomposed essay, smart set it on our website: Ordercustompaper.com

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