Return of Equity Issues in the Spanish Stock Market from the Investor’s Perspective, during the 1997-2012 Period

Is it profitable for an investor, from a risk-return perspective, to acquire a stake in a quoted company when a capital increase is announced? This paper analyses the return obtained from the investment in equity issues with cash contribution and pre-emptive rights, aimed at funding corporate activities: acquisitions, investments in new facilities and/or strengthening the balance sheet of the companies undertaking the equity issue. During the 16 years covered by the study, the results show a negative average excess risk-adjusted return of almost 5%, from the moment that the equity offer is announced until the completion of the preferential subscription period. To obtain this excess return, the difference between the nominal Internal Rate of Return (IRR) and the expected return, using the CAPM, is computed for each equity issue. The intention behind this method is to eliminate the effects of time and any other possible effect on the stock price during the period of the analysis.The results from this article are consistent with the Pecking Order theory for the Spanish Stock Market also six months after the preferential subscription period. However, there is a positive return after three months.

Natural resources on the Russian continental shelf: Foreign investors sought... on Russian terms. OSW Commentary No. 76, 2012-05-09

In recent weeks, Rosneft, a Russian state-owned oil company, has signed co-operation agreements with three Western corporations: America’s ExxonMobil, Italy’s Eni, and Norway’s Statoil. In exchange for access to Russian oil fields on the continental shelf as minority shareholders, these Western investors will finance and carry out exploration there. They will also offer to Rosnieft technology transfer, staff exchange and the purchase of shares in their assets outside Russia (for example in the North Sea or in South America). Rosneft’s deals with Western energy companies prove that the Russian government is resuming the policy of a controlled opening-up of the Russian energy sectors to foreign investors which it initiated in 2006. So far, investors have been given access to the Russian electric energy sector and some onshore gas fields. The agreements which have been signed so far also allow them to work on the Russian continental shelf. This process is being closely supervised by the Russian government, which has enabled the Kremlin to maintain full control of this sector. The primary goal of this policy is to attract modern technologies and capital to Russia and to gain access to foreign assets since this will help Russian corporations to reinforce their positions in international markets. The signing of the above agreements does not guarantee that production will commence. These are a high-risk projects. It remains uncertain whether crude can be extracted from those fields and whether its development will be cost-effective. According to estimates, the Russian Arctic shelf holds approximately 113 billion tonnes of hydrocarbons. The development of these fields, including building any necessary infrastructure, may consume over US$500 billion within 30 years. Furthermore, the legal regulations currently in force in Russia do not guarantee that foreign investors will have a share in the output from these fields. Without foreign support, Russian companies are unlikely to cope with such technologically complicated and extremely expensive investments. In the most optimistic scenario, the oil production in the Russian Arctic may commence in fifteen to twenty years at the earliest.

The federal farm loan system, new method of farm mortgage finance, under national supervision; a practial manual upon organizing and conducting national farm loan associations, also joint stock land banks. Showing how farmers, investors, bankers and the public may obtain the fullest benefit of the system.

Mode of access: Internet.

The financial structure of the foreign affiliates of U.S. direct investors /

Bibliography: p. 89-94.

The unanchored subdivision: a preliminary study of development practices and their impact on California investors,

"Preliminary, subject to review."

Investment in Mexico, conditions and outlook for United States investors.

Bibliographical footnotes.

Report to investors of the Farm Credit System

Vols. for <1987>- have pocket to hold a related publication: the System's Information statement.

American railroad economics; a text-book for investors and students,

Mode of access: Internet.

Building rural America through farmers home insured notes : guaranteed by the full faith and credit of the United States of America : technical information for investors.

"Issued August 1969."

Building rural America through farmers home insured notes : guaranteed by the full faith and credit of the United States of America : technical information for investors.

"Issued August 1969, slightly revised December 1969."

Building rural America through farmers home insured notes : guaranteed by the full faith and credit of the United States of America : technical information for investors.

"Slightly revised January 1971"--P. 15.

Mathiesons' handbook for investors

Cover-title

Official U.S. and international financing institutions : a guide for exporters and investors.

Mode of access: Internet.

Legislative history of H.R. 13103 : 89th Congress, Foreign investors tax act of 1966, Public law 89-809 /

Mode of access: Internet.