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Google Initial Public Stock Offering: Raising an Additional $2.7 Billion and Intensifying Search Business Competition
from:
William Gates III.
Warren Buffet.
Carlos Slim Helu.
Ingvar Kamprad.
Lakshmi Mittal.
They are just five among the 793 recorded billionaires around the world, and they have a combined net worth of around $2.6 trillion, which is 18 percent up compared to the combined net worth of 476 recorded billionaires around the world in 2005. Their average individual average net worth is around $3.3 billion.
The increasing number of billionaires is due to the excellent performance of different stock markets around the world. In fact, India’s BSE SENSEX market was up by about 54 percent in the past 12 months, thus producing 10 more new billionaires for this year, more than any other country besides the United States.
Russia’s RTS Stock Exchange also made an enormous performance, posing an impressive 108% increase in circulating capital. Such surge of wealth in the Russian stock market is due to the strong gains in commodities prices. The former member of the dissolved Soviet Union produced 33 billionaires, with 7 of them that are new in the list.
As mentioned earlier, the increasing number of billionaires every year (from 476 to 793) is attributed to the excellent performance of different exchanges around the world. Many market players are throwing their investments to the arena in the hope of huge profits at the end of each deal. Thus, the money is flowing around the market, and every investor has the opportunity to partake of the billions of dollars worth of circulating capital around the market.
Speaking of capital, every investor is very particular about the initial funds that they will use for their investment venture. In finance, it generally refers to the financial wealth that is used in starting or maintaining a certain investment. In other words, capital is very important for every deal that you will make that needs finances.
If you want to form a company, definitely there is a need for you to raise a huge amount of capital in order to finance its daily operations. There are various ways that you can use to raise capital, and one of which is the initial public offering.
An initial public offering (IPO) is the first sale of a company’s common share to interested public investors. It is an effective method in raising capital for a company, though there are legal compliances and reporting requirements that must be met. Take note that initial public offering is only applicable to the first issuance of common shares to the public. Later issuance of such shares will now be referred to as secondary market offering and involves a different set of requirements that must be met.
There are various large corporations that make use of initial public offering method, and one of which is Google, one of the major search engines over the World Wide Web.
Google filed the initial public stock offering with the U.S. Securities and Exchange Commission in the hope of raising as much as $2.7 billion that will be used in the expansion and development of their Internet-based services to the public. The conduct of their initial public stock offering involves an unusual format of an online auction to make their shares widely available to the public. Credit Suisse First Boston and Morgan Stanley were named as the lead underwriters for that particular initial public stock offering.
Aside from the raising of capital for the company, Google was hoping to increase the search business competition over the Internet once they file their initial public stock offering. According to different online market analyst, the competition between Google and other major search engines such as Yahoo, MSN, and Amazon will certainly intensify since they want to get their share within the search business.
So the next time you used Google and found out that they have additional services to offer, probably that is now the products of their initial public stock offering.
Initial Public Offering News
Billerica-based Bruker unit files for $100M IPO - Boston Herald
Billerica-based Bruker unit files for $100M IPO Boston Herald By Herald Staff A Billerica energy technology company has filed plans for an initial public offering of its stock worth up to $100 million. ... Bruker Energy & Supercon files for $100 mln IPO Bruker Energy & Supercon Technologies, Inc. Files Registration Statement for ... Bruker Energy & Supercon Technologies files for $100 million IPO |
GM "Road Show" for IPO To Start After November Elections - Inside Line
 Moneycontrol.com | GM "Road Show" for IPO To Start After November Elections Inside Line GM is about to take its quest for an IPO out on the road, but not till after the November elections. | September 02, 2010 | General Motors Corporation GM ... GM IPO tour timetable emerges GM IPO scheduled for November 18 Analyst: GM plans to sell shares on Nov. 18 |
Oil explorer Kosmos considers IPO - FT - Reuters
Oil explorer Kosmos considers IPO - FT Reuters The IPO -- possibly in the UK or the United States -- would value the Texas-based company at about $5 billion, the newspaper said without citing sources. ... Kosmos considers $5bn listing in UK or US |
AIG To Move Ahead With Asian Unit IPO (AIG) - Benzinga
 Telegraph.co.uk | AIG To Move Ahead With Asian Unit IPO (AIG) Benzinga AIG (NYSE: AIG) is moving ahead with its initial public offering for its Asian unit, the Wall Street Journal reported. This comes as AIG attempts to pay ... AIG Asia Unit Said to Submit Preliminary Application for IPO AIG Sets AIA Group IPO In Motion AIG falls amid reports of Hong Kong AIA listing |
US Frets Over Foreign Investors in GM - Wall Street Journal
Moneycontrol.com | US Frets Over Foreign Investors in GM Wall Street Journal The Treasury would begin to sell its shares through the IPO. A decision on to what extent such overseas groups will be allowed as cornerstone investors in ... US Treasury mulls over foreign investors in GM IPO-WSJ |