Required:
a. Describe the changes that the company made to its capital structure when it went public.
b. How much money did BRP raise through its IPO? On a percentage basis, how much were the total fees and expenses incurred as part of the IPO relative to the funds raised though the IPO?
c. Note 16(b) states that prior to the IPO, the company consolidated its outstanding shares on a 3.765-to-1 basis. Explain what this means and what effect this step would have on share value.
d. The extract from the company 2014 annual information form explains that the subordinate voting shares represent 33.1% of the company total issued capital and 7.6% of the voting power attached to all shares. Rephrase this in terms of the company multiple voting shares. Also, quantify the relationship between voting power and the capital invested.