Question

JupiterX (JX) went public and used the Dutch auction to set the offer price for 30...

JupiterX (JX) went public and used the Dutch auction to set the offer price for 30 million shares. The following table gives the bidding. The stock traded at $100 at the end of trading on the first day. What is the percent underpricing?

Bidder

Price ($)

Number of Shares (millions)

B1

110

5

B2

90

10

B3

80

20

B4

75

30

A. 20.0%

B. 25.0 %

C. 33.3%

D. 67.7%

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