Gemstone
2017
What year was Gemstone established?
This is the term used when one company purchases another for a price higher than the target's market value.
What is a premium?
Micro-cap companies often employ this tactic to increase their share price and attract institutional investors, especially when their stock trades below $1.00, making them ineligible for listing on major exchanges.
What is a "reverse stock split"?
Who directed the movie Jurassic Park?
Who is Steven Spielberg?
A bat and a ball together cost $1.10. The bat costs $1 more than the ball. How much does the ball cost?
The ball costs 5 cents, and the bat costs $1.05.
16 transactions
What was the number of transactions completed in 2023?
A valuation approach based on past deals, also knowns as "Well, this other company got that price, so why not?"
What is peer-group/comparable company/precedent transactions?
In micro-cap ECM, these alternative trading systems are commonly used by investors to trade shares, due to their lower regulatory requirements and ability to facilitate trades of less liquid stocks.
What are "over-the-counter (OTC) markets" or "alternative trading systems (ATS)"?
This Danish author and playwright wrote the satirical novel Lucky Per (Lykke-Per), which is considered one of the greatest Danish novels.
Who is Henrik Pontoppidan?
At 3:15 p.m., what is the angle formed by the hour hand and the minute hand of a clock?
With a quarter past the hour approaching, the minute hand is exactly at 3:00, but the hour hand has moved 1/4 of the way between 3:00 and 4:00 on the clock. As a result, 1/4 times 1/12 equals 1/48 of the clock. With a clock of 360 degrees, 360/48 = 7.5 degrees is the angle measured.
The company that Gemstone Capital carried out a number of transactions for within vertical software?
What is EG?
This type of merger occurs when companies at different stages of production within the same industry combine. It is typically pursued to achieve greater control over the supply chain or to capture more profit margins from upstream or downstream activities.
What is a "vertical merger"?
((N × P_current) + (M × P_new)) / (N + M)
What is TERP (Theoretical Ex-Rights Price)?
This Danish director, known for founding the Dogme 95 movement, directed films like Breaking the Waves and Melancholia.
Who is Lars von Trier?
You have 8 balls of the same size, but one is slightly heavier. How do you find the heavier ball using a balance scale only twice?
Divide the balls into three groups (3, 3, and 2). Weigh two groups of 3. If one is heavier, weigh two balls from that group. If they balance, the third is the heavier ball. If the groups are equal, weigh the group of 2.
Name the adresses of Gemstone Capital?
Parken (Øster Alle), Strandvejen 60 og Strandvejen 102B? (Sankt Annæ var 1CT)
In an M&A deal, the term "synergies" refers to the expected benefits resulting from the combination of two companies. Synergies can be classified into two main categories. Name these categories.
What are "cost synergies" and "revenue synergies"?
This term describes a situation in micro-cap equity financing where repeated issuances of discounted shares, often through convertible debt or deeply discounted rights offerings, lead to a continuous decline in the share price, as each new issuance triggers further selling pressure and dilution.
What is a "death spiral"?
What planet is known as the "Red Planet"?
What is Mars?
If you invest $1,000 in a stock that triples in value and then falls by 50%, what is your final investment value?
The investment triples to $3,000 and then falls by 50%, leaving $1,500.
The best financial year for Gemstone Capital?
2021
In a friendly takeover, the acquirer may offer the target company’s management team retention bonuses or new employment contracts to gain their support for the transaction. What is the term for these incentives?
What are "golden handcuffs"?
When underwriting micro-cap offerings, this provision allows the underwriter to purchase additional shares, typically up to 15% of the original offering, to cover over-allotments and stabilize the share price.
What is a "greenshoe option"?
What does GPT stand for in chat GPT?
(Straf for taberhold som bestemmes af vinderhold, hvis der svares rigtig)
Generative Pre-trained Transformer
You have two companies, A and B. Both operate in the same industry, have identical financials, and their stocks trade at the same price. One day, Company A announces a major acquisition, while Company B announces a share buyback of the same value as the acquisition. Assuming no other changes, which company's stock is more likely to go up, and why?
Answer:
Company B's stock is more likely to go up.
Reason: A share buyback reduces the number of shares outstanding, increasing the earnings per share (EPS) and making the stock more attractive to investors. This tends to boost the stock price in the short term.