11a) Threats of raising capital via primary market (IPO) Shareholder: have the right to votecorporate liability (Haftung einer AG) if there are erros in prospectuses If the IPO starts bad, there are threats of prosecutions (danger especially at medium-sized companies, who maybe neither have any experience in IPOs nor do they want to invest large amounts of money for expensive consultants) (fyi: there are insurances that insure these starts) example: Deutsche Telekom / Facebook Not a real threat but an unpleasentness: company has to answer to shareholder

IPO market in general:

Facebook as an example of a current primary market issue: