General Property Trust (298-123)

Tufano, Peter and Handley, John C. (1999) General Property Trust (298-123). [Case]

Abstract

In 1994 General Property Trust, an Australian property investment trust, was anticipating future cash needs beyond those that the Trust could fund with internal cash flows. The managers of the Trust were considering a novel financing structure whereby it would sell call options on the Trust's units. The options' structure made it likely that they would be exercised, and therefore investors would choose to buy the Trust's units. The managers had to determine the appropriateness of this funding scheme in light of the Trust's alternatives and evaluate the proposed pricing of the options that would be offered via a rights offering.

Item Type: Case
Keywords: finance, accounting, financial management
Subject(s): Finance
Date Deposited: 01 Apr 2016 13:44
Last Modified: 01 Apr 2016 13:44
Funders: n/a
URI: http://eureka.sbs.ox.ac.uk/id/eprint/6027

Actions (login required)

Edit View Edit View