Chris Mercer

MARCH 29, 2024

What is a Pre-IPO Discount? The question is: What does that 50% pre-IPO discount mean or imply for the valuation of illiquid minority interests in private companies today? What is a Pre-IPO Discount? Astute readers will know the conclusion of this musing at the outset. – 1 Begin at the very beginning.

Marketability 52

Marketability Appraisal Business Valuation Dividends 52

Value Scope

JULY 21, 2020

The first issue is that we don’t even know what ESG means,” Peirce continued. Pierce added “Not only is it difficult to define what should be included in ESG, but, once you do, it is difficult to figure out how to measure success or failure.”. Intangible asset valuation concepts can and should be applied to unique ESG cash flows.

Intangible Assets 130

Intangible Assets Beta Alpha Unlevered Beta 130

Reynolds Holding

JUNE 27, 2023

An increasing number of consultancies, financial technology firms, data providers, and investment advisory groups offer information about localized physical climate risks like floods, hurricanes, and wildfires. They are used to allocate equity capital through active and passive investments.

Banking 83

Banking Finance Equity Technology 83

Value Scope

APRIL 9, 2021

If I buy a rare sports car for, say, $100,000, and I get to view it every time I walk into the garage, what is its value? And what is the value of the pleasure I derive from the car, the drive, the fun, and its aesthetic beauty? And what is the value of the pleasure I derive from the car, the drive, the fun, and its aesthetic beauty?

Fair Market Value 130

Fair Market Value Marketability Finance Intangible Assets 130

Value Scope

APRIL 9, 2021

If I buy a rare sports car for, say, $100,000, and I get to view it every time I walk into the garage, what is its value? And what is the value of the pleasure I derive from the car, the drive, the fun, and its aesthetic beauty? And what is the value of the pleasure I derive from the car, the drive, the fun, and its aesthetic beauty?

Fair Market Value 130

Fair Market Value Marketability Finance Intangible Assets 130

Musings on Markets

DECEMBER 21, 2022

I would like to believe that I am capable of both doing and teaching valuation and corporate finance, but I will leave that judgment for you to make, since my valuations and corporate finance assessments are in the public domain (on my blog and in my lecture notes). For that to happen, I have to have fun teaching and I will!

Corporate Finance 89

Corporate Finance Finance Start-ups Marketability 89

Brian DeChesare

JULY 27, 2022

Anyone who’s ever traded stocks can understand long/short equity , and even simple global macro trades are easy to explain to the average person. But if you have the right knowledge and experience, credit hedge funds can provide a great career path: What is a Credit Hedge Fund? So, you long the Target bond and short the Walmart bond.

Equity 52

Equity Start-ups Private Equity Firm Beta 52

Erik A. Lopez

OCTOBER 26, 2015

The following is a guest post from Nate Nead, an investment banking Director at Merit Harbor Group, LLC. It wasn’t too long ago when private equity firms had the power – and ability – to do very little heavy lifting in order to enjoy a substantial growth on their return in a short period of time. But times are surely changing.

Private Equity Firm 52

Private Equity Firm Equity Banking Technology 52

Reynolds Holding

NOVEMBER 29, 2022

Deposits, stocks, bonds, notes, currencies, and other instruments possess value and give rise to claims, liabilities, or equity investment. Financial assets include bank loans, direct investments, and official private holdings of debt and equity securities and other instruments. The Definition Divides Regulators. Key message.

Marketability 137

Marketability Banking Start-ups Finance 137

Chris Mercer

FEBRUARY 14, 2024

from Integrated Theory 3 defines and illustrates a Restricted Stock Discount (RSD) for a hypothetical public company issuing restricted shares in a private offering. What do we know based on this restricted stock transaction? This musing is addressed to all appraisers, regardless of which valuation credential(s) they hold.

Marketability 52

Marketability Dividends Appraisal Business Valuation 52

Cooley M&A

MARCH 22, 2023

For further detail on the scheme of arrangement majority tests – see our blog post – “Schemes of Arrangement: Dodgy Plots or Effective Ways to Purchase UK Companies” If it is possible to obtain signatures from all shareholders, a share purchase agreement may give you a timing and certainty advantage to other bidders.

Finance 52

Finance Marketability Equity 52

Musings on Markets

MARCH 28, 2022

If you remain a true believer, I will leave it up to you to decide how much damage has been done to ESG, and what comes next. I am not an unbiased observer, but the reactions from ESG defenders to this crisis can be broadly categorized into three groups. My views on ESG are not a secret.

Start-ups 113

Start-ups Alpha Marketability Risk Premium 113

Value Scope

SEPTEMBER 24, 2020

The first issue is that we don’t even know what ESG means,” Peirce continued. Pierce added “Not only is it difficult to define what should be included in ESG, but, once you do, it is difficult to figure out how to measure success or failure.” . “In What does this really mean? In 2018, the number was about $5 billion. “The

Intangible Assets 130

Intangible Assets Alpha Beta Marketability 130

Equilest

FEBRUARY 18, 2023

But what exactly are special interest purchasers, and how do they impact business valuation? In this blog post, we'll explore the power of niche markets and how special-interest purchasers can influence business valuation. As Tamir Levy, Ph.D., The firm also owns several other health-focused restaurant chains.

Special Interest Purchasers 40

Special Interest Purchasers Business Valuation Private Equity Firm Banking 40

Equilest

FEBRUARY 18, 2023

But what exactly are special interest purchasers, and how do they impact business valuation? In this blog post, we'll explore the power of niche markets and how special-interest purchasers can influence business valuation. As Tamir Levy, Ph.D., The firm also owns several other health-focused restaurant chains.

Special Interest Purchasers 40

Special Interest Purchasers Business Valuation Private Equity Firm Banking 40

Sun Acquisitions

APRIL 25, 2023

Evaluate Your Assets: Create an inventory list that reflects all assets associated with your business (e.g., client lists, property/equipment, etcetera).

Start-ups 52

Start-ups Marketability Equity 52

Chris Mercer

MAY 19, 2023

This post was originally written for Mercer Capital’s Family Business Director Blog and offered advice to family business directors based on my observations following the failure of Silicon Valley Bank on March 10, 2023. What really happened? What caused SVB to fail?

Banking 98

Banking Treasury Start-ups Marketability 98

ThomsonReuters

JUNE 7, 2021

With the transition from the Trump to the Biden administration, we’ve seen a major shift in attitudes around climate change and diversity, equity and inclusion (DEI) matters. The coming years are seen by many as an opportunity to rebuild the economy with ESG reporting at the forefront. Why bother with ESG reporting?

Compliance 98

Compliance Start-ups Private Equity Firm Finance 98

Audit Board

MAY 2, 2023

C, ethical misconduct in corporate workplaces, employee welfare, and diversity, equity, and inclusion challenges , and an uptick in fraudulent exploitation of private personal data in digital spaces have contributed to a hyper-fraught environmental, social, and governance (ESG) risk landscape. Scope 1 Emissions: Direct emissions.

Compliance 52

Compliance Equity 52

Audit Board

JUNE 14, 2023

After all, businesses seeking to do the right thing isn’t new — many companies have chosen to incorporate sustainability, diversity, equity, human rights, and environmental initiatives into their day-to-day operations. But what is ESG reporting, really? And, ESG doesn’t just impact external stakeholders either.

Compliance 52

Compliance Start-ups Marketability Equity 52

Cooley M&A

APRIL 5, 2024

Venture-backed private companies typically follow the charter approach and have protective voting rights as part of the rights, preferences and privileges of the preferred stock in the corporation’s certificate of incorporation. A summary of the rulings is listed in the table below.)

Dividends 52

Dividends Marketability Compliance Banking 52

Musings on Markets

JANUARY 27, 2022

Inflation: Measurement and Determinants As the inflation debate was heating up in the middle of last year, I wrote a comprehensive post on how inflation is measured, what causes it and how it affects returns on different asset classes. Rather than repeat much of that post, let me summarize my key points.

Risk-free Rate 84

Risk-free Rate Treasury Price to Book Start-ups 84

Reynolds Holding

MAY 6, 2022

2] Later, realizing what he had done, he tried to cover up his misdeeds. 6] Similarly, J.Crew’s private equity owners transferred $250 million of intellectual property into an unrestricted subsidiary, freeing up assets that they turned around and pledged as collateral to borrow even more. [7] That is, until 3:15 P.M.

Private Equity Firm 56

Private Equity Firm Capital Structure Equity Marketability 56

Cooley M&A

SEPTEMBER 25, 2020

In a May blog post we discussed several initial observations regarding the dozens of M&A transactions that were signed prior to March 2020 and that were in jeopardy as a result of COVID-19. In other words, the specific performance remedy is conditional, and neither buyer nor the sponsor can be forced to close without the debt financing.

Debt Financing 40

Debt Financing Finance Equity Private Equity Firm 40

Cooley M&A

SEPTEMBER 16, 2022

In a small number of cases, a class of common stock is offered to the public that has no voting rights at all. 4] However, such exceptions were not universal and, as will be discussed below, the vast majority of dual-class charters adopted before 2016 that contained transfer restrictions did not include M&A voting agreement carve outs.

Equity 59

Equity Private Equity Firm Technology Marketability 59

Reynolds Holding

NOVEMBER 28, 2022

FINRA ties this obligation to underwriters via their exposure to private civil liability under Sections 11 and 12 of the Securities Act of 1933 subject to their affirmative due diligence defense for misstatements or omissions in IPO prospectuses. NYSE and NASDAQ Reactions. Suggested Underwriter Responses to the Threat.

Compliance 45

Compliance Marketability Banking Treasury 45

Reynolds Holding

JUNE 16, 2022

The Working Group on Securities Disclosure Authority respectfully submits these comments on the Commission’s recent proposal related to mandated, standardized climate-related disclosures for investors. [ Editor’s Note: This post is based on a comment letter submitted to the U.S. Securities and Exchange Commission on June 16, 2022.

Corporate Finance 52

Corporate Finance Finance Compliance Marketability 52