On this interpretation, Resolute is able to present the deal as slightly less dilutionary
than the Toro interpretation suggests.
The contraction in the EBITDA margin is a direct result of the dilutionary
impact of consolidating Espreon for a full twelve months in FY10 compared with just over four months in FY09.
The main difficulty for a company is balancing the dilutionary
effect on existing shareholders of raising funds at what will inevitably be a lower price due to falling markets.
Collins Stewart banks analyst Alex Potter said the Barclays move would also be "less dilutionary
" for shares.
Much of that fall was due to the dilutionary
effect of the recent Lindberg acquisition in the US.
For instance, Davidson (1992, 46-7) argues: "As the political history of the southern states in the present era makes clear, whites have been quick to use the entire panoply of dilutionary
measures to maintain their advantage in officeholding.
Until 1987, the required test of retrogression -- whether a change in electoral laws or structures has a dilutionary
effect -- and proof of intentional discrimination were difficult and in many cases impossible to prove.