When Bad Things Happen After A Securities Pricing

Law360, New York (February 28, 2014, 12:28 PM EST) -- The underwriters have priced the deal. The underwriting agreement has been signed. The issuer has returned its focus to running its business and the underwriters have moved on to the next deal. All that is left is for the lawyers to document the terms and to ensure that the underwriters are in a position to move money at closing. Then, a day or two after pricing, the plant unexpectedly blows up. What happens if an unforeseeable and materially adverse event[1] ("MAC event") occurs after the pricing of the securities but before closing?...

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