Second Cup, the biggest chain of specialty coffee shops in Canada, needs to raise money through an initial public offering (IPO) in order to finish paying off the company's long-term debt and thus, get the most out of chances to grow its operations.
The worth of the business is and how one could raise $14 million are factors that are occupying Nesbitt Thompson’s mind.
Learning Objective: To introduce pupils to the IPO procedure. They are presented with a business with great potential but at a vital phase in its increase.
This case is also useful for studying the implications of the capital structure adopted by the company and of a large amount of funds available for expansion or acquisitions.
Publication Date: 01/21/1995
This is just an excerpt. This case is about Finance
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