Arcam AB fka AMAVF

[charlie T colton]

RE:why do they price the new_shares at 30%_discount?

I think it may be common. Not the 30%, but at a discount in general.

*NOT* financial advice for anyone - especially here.

This is the most complete thing I could find on the subject. It appears to be a masters level report on Swedish stock pricing so keep that in mind. There are references that should be helpful. The main subject is underwriting costs but share discounting plays heavily. It's about 50 pages and the word "discount" is used 33 times. As far as I could tell it is about pricing on subscription rights issues of additional shares to raise money.

Underwritten Rights Issues - A study of the price of using underwriters on the Swedish market. Seminar date: 2014-06-03/04

"What has changed in recent years is that the companies are setting a significantly larger discount to the actual share price of the new issue. This has become a common practice on the Swedish market after the Swedish airline company SAS made a rights issue in 2010 where the subscription price was set at 67 cents, a fraction of the then actual market price of the share.