Exchange Data International (EDI), a provider of global security corporate actions, pricing and reference data, announced today the release of a new corporate action event, Further Public Offering (FPO).
The addition of the FPO event enhances existing services by providing full details of company securities post Initial Public Offering (IPO), including any additional allocations made available to the deal’s underwriters via ‘greenshoe’ options.
Once a follow-on or secondary offering is announced, it is essential to understand the impact on existing shareholder investments. This new event type indicates the type of offering; whether for new shares, sales of existing shares or a combination of both. This allows clients to quickly and efficiently determine the dilution impact on their holding.
FPO events are tracked from the point of announcement through to closure or withdrawal with an audit trail following material changes of the offering such as offer price declaration and take up of greenshoe options. Once confirmed effective, a shares outstanding notice is published to reflect the new total number of shares as a consequence of the additional securities distributed in the offering.
“During 1Q 2017, US IPO activity was down 7% from the prior quarter. Meanwhile, secondary issuance was consistently stronger, up 18% quarter over quarter and more than 90% year on year,” noted Jonathan Bloch, CEO of Exchange Data International. “As a result of this increasing demand, we decided to add the FPO event. Our experts have gatheredthe new Further Public Offering data from primary sources, covering 150 international stock exchanges, as well as secondary sources which include international news agencies.”
The new event is available in EDI’s Worldwide Corporate Actions, premium feed service and the web browser.