Description: Prada SpA, the Italian fashion company that has scrapped initial public offerings four times in 11 years, may decide to proceed with an IPO by the end of the month, according to two people familiar with the situation.

Source: Businessweek.com

Date: 01/21/2011

Link: http://www.businessweek.com/news/2011-01-21/prada-said-to-decide-on-ipo-by-end-of-month-open-90-stores.html

Questions for discussion:

• What are the positive and negative implications for an IPO?
• What do you believe would motivate the firm to consider an IPO at this time?
• Do you think the IPO estimated value is fair?
• How would you evaluate the value of the firm?