$65.6 million = X * $56 * 0.91 + $456,000
The price the company gets per share is the selling price, $56, times the number of shares times 0.91 which accounts for the 9% spread, I'm assuming that is how it's calculated.
yes
The Davis Company needs to raise $65.6 million to finance its expansion into new markets. The company will sell new shares of equity via a general cash offering to raise the needed funds. The offer price is $56 per share and the company’s underwriters charge a spread of 9 percent. The SEC filing fee and associated administrative expenses of the offering are $456,000.
How many shares need to be sold?
