Nosam Ltd Has Just Raised $100 Million by an Issue

question 40

Multiple Choice

Nosam Ltd has just raised $100 million by an issue of 5 million converting preference shares.If each CPS converts into 20 ordinary shares on conversion,calculate the expected ordinary share price immediately prior to conversion.Assume the conversion discount is 5 per cent.

• A)$1.05 per share.
• B)$5.26 per share.
• C)$1.00 per share.
• D)$5.05 per share.

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Definitions:

Self-Determination

The process by which a person controls their own life, making choices and decisions based on personal preferences and interests without undue influence from others.

Responsibility

The obligation to carry out duties and make decisions within a role, organization, or towards society.

Servant Leadership

A leadership philosophy that focuses on serving others, prioritizing the well-being and development of team members and stakeholders above self-interest.

Authentic Leadership

A leadership style that is genuine and transparent, with leaders being true to themselves and their values while fostering trust.