Instruction for share issue

When company does a share issue, there are two variables that affect Valuatum Excel model. First is capital increase and second is number of shares. Here are step-by-step instructions to handle rights issue in Valuatum Excel model. All the row numbers are from empty_model_552.

1. Allocate collected new capital to shareholders equity and liabilities.  We recommend you to use two different inputs, depending how company is allocating the new capital.

• The first proportion allocated to ‘share capital’ (row 155) is the proportion that is used to increase share capital
• Second proportion allocated to ‘other equity’ (row 159) is the capital reserves proportion

2. Enter the cash effect to the "Manual cash flow adjustments" (row 91). Entering the cash flow manually adjusts the DCF-calculation.

3. Adjust the number of shares. You need to input the total year end number of shares to the ‘No of shares y.e.’ (row 67). And if you need to adjust the average number of share, input it to row ‘average no of shares total (dominating)’ (row 69).

4. Adjust historical figures to make years comparable. In excel model you should use the ‘Splits and stock issues multiple’ (row 74). This multiple equals pre-issue share price divided by post-issue share price. You may find more information about splits and share issues and a multiple calculator from here.