Gone are the days, at least for the time being, of cheap credit. Of course, the debt markets are still open for business for some companies, but it seems likely that these companies are those least in need of any such financing. For the rest, though, it seems that one of the few available routes to raise finance, for the moment at least, is through the equity markets, a route that seemed to be fast going out of fashion just a year or so ago. However, it is extremely challenging to raise finance in today's volatile equity markets, and this has led to calls for regulatory reform.
Key considerations
Shareholder authorities
Any equity offering, whatever the structure used, requires that the directors are authorised to issue the securities being offered. Most companies obtain a rolling annual authority at their AGM (a section-80 authority), usually allowing directors to issue new shares representing up...