The Economics of PIPEs
Author: Lim, Jongha, Schwert, Michael, Weisbach, Michael S. on Oct 21, 2017
Private placements of equity, commonly referred to as “PIPEs,” are an important source of financing for many public corporations. According to PrivateRaise, a leading database on PIPE transactions, between 2001 and 2015, there were 11,296 private placements of common stock by U.S. listed firms that raised $243.9 billion. Firms raising…
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