Fastgrow Joint Stock Company is seeking to raise additional equity fi nance. The board of management is negotiating with Hai, a wealthy investor, in the hope that he will purchase new shares in the company.Hai has expressed an interest in this investment but has insisted on several conditions. He wants to be guaranteed a position on the board of management for a minimum of three years. He also wants the board of management to sign an undertaking that he will be paid a minimum annual return on his shares of 6%. Hai has specifi ed that all dividends paid must be remitted in US dollars, directly to his offshore bank account.Required:Discuss the extent to which Fastgrow will be able to meet Hai’s demands. (10 marks)
