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This is a follow-on assignment to the assignment in module 3. The objective of this assignment is to show the students how a fully integrated system like an ERP system processes the transactions within
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Step 1: Start by understanding the purpose of a follow-on offering. It is a type of stock offering where a company raises capital by selling additional shares of stock to existing shareholders.
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Step 2: Determine if you are eligible to participate in a follow-on offering. Typically, only existing shareholders or institutional investors are allowed to participate.
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Step 3: Consult with your financial advisor or broker to get more information about the follow-on offering and its terms.
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Step 4: Review the offering prospectus which contains important details about the offering such as the number of shares being offered, the offering price, and any associated fees.
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Step 5: Decide on the number of shares you want to purchase in the follow-on offering and calculate the total cost based on the offering price.
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Step 6: Place an order to purchase the desired number of shares through your broker or directly with the company if they offer a direct stock purchase plan.
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Step 7: Follow any instructions provided by your broker or the company to complete the purchase of the follow-on offering shares.
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Step 8: Monitor the progress of the follow-on offering and keep track of any important dates such as the closing date for purchasing shares.
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Step 9: After the follow-on offering is closed, you will receive confirmation of your share purchase and the shares will be added to your existing stock holdings.
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Step 10: Stay informed about any post-offering updates or announcements from the company and evaluate the performance of your follow-on offering shares.

Who needs how does a follow-on?

01
Existing shareholders of a company who want to increase their ownership stake.
02
Institutional investors looking to invest in a company and capitalize on potential future growth.
03
Individual investors who believe in the long-term prospects of a company and want to take advantage of the opportunity to purchase additional shares at a potentially discounted price.
04
Companies that need to raise additional capital to fund growth initiatives, repay debt, or make acquisitions.

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A follow-on is a type of public offering or secondary offering of shares that occurs after a company's initial public offering (IPO). It allows companies to raise additional funds by issuing more shares to investors.
Companies that are publicly traded and wish to issue additional shares after their initial public offering are required to file a follow-on registration statement with the relevant regulatory authority, such as the SEC in the United States.
Filling out a follow-on registration typically involves completing a registration statement that includes details about the securities being offered, the use of proceeds, financial statements, and risk factors associated with the investment.
The purpose of a follow-on offering is to raise additional capital for corporate needs such as funding expansion, paying off debt, or making acquisitions, while providing liquidity to existing shareholders.
Information that must be reported includes the number of shares being offered, the intended use of the proceeds, financial performance metrics, risks involved, and details about the underwriting process.
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