Not exact matches
In that case, if he can deliver the
shares to the lender when
prices have
fallen, and retain no other contractual obligation (either because it is a non-recourse loan, or because he has no other attachable wealth), he has in effect a put option from the lender that substantially matches the put option he has transferred to employees who buy
shares under the program.
For example, Alibaba's stocks
fell below their IPO
price after 233 days since its debut, while Facebook's
shares went
under their IPO
price just on its second day.
When these loans became illiquid, and the firm had no ability to pay back its creditors, Lehman Brothers experienced a credit crunch; it could no longer cheaply raise cash via debt issuance, and issuing stock
under such conditions led to both dilution of
shares and negative sentiment, which caused its
share price to
fall.
«It gives me great honor to
share with you that beginning in the
fall of 2016, Utica College will reset its published
price of tuition and fees from $ 35,514 to
under $ 20,000,» Hutton said.