answersLogoWhite

0

What is ATM common equity offering?

Updated: 9/15/2023
User Avatar

Wiki User

14y ago

Best Answer

ATM equity offering is an alternative way of raising capital by issuing equity through existing secondary markets over a period of time.

Basically issuer gets in agreement with a sales agent (generally investment banks) to sell specified number of shares over the period of time. Issuer has the flexibility of issuing any number of shares during that time frame unlike traditional equity issuance where certain number of shares has to be issued at the time of issuance.


The flexibility of timely issuance of shares helps issuer to match its demand of capital with the supply by controlling the number of shares issued. Additionally it reduces the volatility of stock price by avoiding issuance of large number of stocks at the time of high market price of share and little or no issuance at the time when market price of shares is low.


Nitin

User Avatar

Wiki User

14y ago
This answer is:
User Avatar

Add your answer:

Earn +20 pts
Q: What is ATM common equity offering?
Write your answer...
Submit
Still have questions?
magnify glass
imp
Related questions

What is the difference between a private offering and a public offering?

A private offering is an offer to acquire capital from individual investors. Investors are specifically encouraged to loan money, or buy equity, in a company. idual A public offering is an offer open to the public, either equity or debt.


What is the difference between return on total equity and return on common equity?

Total equity and common equity are separate things where there is preference shares are also issued in that case only shares issued to common share holders are included in common equity while in total equity shares issued to preference shareholders are also included.


Are there restrictions for getting a home equity line of credit if you own a condo?

Your mortgage lender who is offering you an equity line of credit can answer your question.


What will increase equity?

Equity share capital can be increased by a bonus issue, a rights issue, Follow on public offering.. Regards Sumit..


How do you build company equity through stocks?

You have to do an IPO(Inital Public Offering) on your company then it becomes a publicly traded company then you have the stock equity.


Where can you find the lowest bank and ATM fees in the UK?

This will change from month to month but there are banks offering free accounts without ATM charges from most ATMs. Some ATM machines will always charge.


Difference between common law and equity?

common law also make by artificially and equity make atumetically


Is common stock an equity?

Yes Common stock is an equity of business and refundable by business at the time of liquidation of business.


How do you compute a Return on common stockholders equity?

(Net Income - Preferred Stock Dividends) / Average common stockholders' equity


In a corporate balance sheet is common stock considered an asset liability or equity?

Equity.


Where do common shares go on financial statement?

Common share are part of equity of business that's why shown in equity section of balance sheet.


What has been the impact of modern equity on common law?

The impact of modern equity on common law is if you have it, spend it. For the people that are better off, the modern equity states to spend the money you do have to keep the economy going.