BROWSE

Accelerated Bookbuild

What is an 'Accelerated Bookbuild'

An accelerated bookbuild is a form of offering in the equity capital markets. It involves offering shares in a short time period, with little to no marketing. The bookbuild of the offering is done vey quickly in one or two days. Underwriters may sometimes guarantee a minimum price and proceeds to the firm.

Explaining 'Accelerated Bookbuild'

An accelerated bookbuild is often used when a company is in immediate need of financing and debt financing is out of the question. This can be the case when a firm is looking to make an offer to acquire another firm.

For example, BetandWin.com used an accelerated bookbuild to raise between 200 and 300 million euros to help fund the acquisition of Ongame E-Solutions, the operator of pokerroom.com, one of the most popular poker websites.


Further Reading


The rise of accelerated seasoned equity underwritings
onlinelibrary.wiley.com [PDF]
… most compelling, in our view, focus on the role of bookbuild- ing in strengthening investors … Rapid execution and near complete transfer of price risk are the two main reasons block … Years later, this offering became known as the first accelerated bookbuilt offering (ABO).15 ABOs …

The Financial and Economic Lessons of Italy's Privatization ProgramThe Financial and Economic Lessons of Italy's Privatization Program
onlinelibrary.wiley.com [PDF]
… most compelling, in our view, focus on the role of bookbuild- ing in strengthening investors … Rapid execution and near complete transfer of price risk are the two main reasons block … Years later, this offering became known as the first accelerated bookbuilt offering (ABO).15 ABOs …

The economics of primary marketsThe economics of primary markets
papers.ssrn.com [PDF]
… most compelling, in our view, focus on the role of bookbuild- ing in strengthening investors … Rapid execution and near complete transfer of price risk are the two main reasons block … Years later, this offering became known as the first accelerated bookbuilt offering (ABO).15 ABOs …

The marketing of seasoned equity offeringsThe marketing of seasoned equity offerings
www.sciencedirect.com [PDF]
… most compelling, in our view, focus on the role of bookbuild- ing in strengthening investors … Rapid execution and near complete transfer of price risk are the two main reasons block … Years later, this offering became known as the first accelerated bookbuilt offering (ABO).15 ABOs …

Is Good Advice Hard to Find?: The Impact of Director Connectedness on Financing and InvestmentIs Good Advice Hard to Find?: The Impact of Director Connectedness on Financing and Investment
papers.ssrn.com [PDF]
… most compelling, in our view, focus on the role of bookbuild- ing in strengthening investors … Rapid execution and near complete transfer of price risk are the two main reasons block … Years later, this offering became known as the first accelerated bookbuilt offering (ABO).15 ABOs …

The Rise of Accelerated Seasoned Equity UnderwritingsThe Rise of Accelerated Seasoned Equity Underwritings
services.bepress.com [PDF]
… most compelling, in our view, focus on the role of bookbuild- ing in strengthening investors … Rapid execution and near complete transfer of price risk are the two main reasons block … Years later, this offering became known as the first accelerated bookbuilt offering (ABO).15 ABOs …

Monetary Policy and Asset Price Volatility: Theoretical Model and Empirical Study in China <span style=[J]' src='/thumbnails/?img=http%3A%2F%2Fen.cnki.com.cn%2FArticle_en%2FCJFDTotal-JJYJ200910006.htm' />Monetary Policy and Asset Price Volatility: Theoretical Model and Empirical Study in China [J]
en.cnki.com.cn [[J]' href='https:/api.miniature.io/pdf?url=en.cnki.com.cn%2FArticle_en%2FCJFDTotal-JJYJ200910006.htm'>PDF]
… most compelling, in our view, focus on the role of bookbuild- ing in strengthening investors … Rapid execution and near complete transfer of price risk are the two main reasons block … Years later, this offering became known as the first accelerated bookbuilt offering (ABO).15 ABOs …



Q&A About Accelerated Bookbuild


What does it involve?

It involves offering shares in a short time period, with little to no marketing.

What is an accelerated bookbuild?

An accelerated bookbuild is a form of offering in the equity capital markets.

Is there any guarantee on minimum price and proceeds to the firm?

The bookbuild can be done very quickly in one or two days. Underwriters may sometimes guarantee a minimum price and proceeds to the firm.

When might you use an accelerated bookbuild?

You might use this when you are looking for financing immediately and debt financing is out of the question. This can be the case when you are looking to make an offer to acquire another company.