Musings on Markets

FEBRUARY 18, 2025

While I was working on my last two data updates for 2025, I got sidetracked, as I am wont to do, by two events. With these characteristics, the accounting balance sheets for these companies will be identical right after they start up, and the book value of equity will be $60 million in each company.

Equity 52

Equity Book Value Marketability Start-ups 52

Harvard Corporate Governance

AUGUST 7, 2023

Mega grants are large, one-time equity awards with long vesting periods (up to 10 years) granted in lieu of or in addition to annual awards with the intended purpose of providing significant incentive to achieve long-term targets. We recently published a paper on SSRN (“Mega Grants: Why Would A Board Approve Nine-Figure CEO Pay?”)

Equity 230

Equity Market Capitalization Technology Marketability 230

Harvard Corporate Governance

AUGUST 11, 2022

That proposal would, among other things, require certain advisers to hedge funds and private equity funds to provide current reporting of key events, and enhance reporting requirements for large private equity and large liquidity fund advisers. more…).

Equity 213

Equity 213

Harvard Corporate Governance

SEPTEMBER 29, 2023

Success for startups is often framed as reaching a liquidity event, or exit, that provides financial returns and rewards to the investors, founders, and employees. In general, a startup can be said to fail when it ultimately falls short of reaching an exit at a valuation that would provide a return to all equity holders.

Equity 222

Equity Finance Marketability 222

Harvard Corporate Governance

JUNE 9, 2022

Rich, at last year’s conference, you and I spoke about how technology has transformed and continues to transform our equity markets. [1]. equity volume. Last year, during the meme stock events, that share swelled to a peak of 47 percent. [2] This has led to some good things.

Equity 203

Equity Marketability Technology 203

Brian DeChesare

MAY 15, 2024

Private equity value creation came on my radar a few years ago when I noticed something: Even though traditional PE deal roles were not doing well, “operational” or “value creation” teams still seemed to be recruiting. What Does the Private Equity Value Creation Team Do in Real Life? Why is PE Value Creation Suddenly “Hot”?

Equity 105

Equity Private Equity Firm Start-ups EBITDA 105

Brian DeChesare

JANUARY 24, 2024

Let’s start with the elephant in the room: yes, we’ve covered the growth equity case study before, but I’m doing it again because I don’t think the previous examples were great. So, you can think of this example and tutorial as “Growth Equity Case Study: The Final Form.” They over-complicated the financial model (e.g.,

Equity 105

Equity Private Equity Firm Start-ups Comps 105

Financial Times M&A

DECEMBER 16, 2024

Trade fair group looks to double revenue as private equity backer plans sale

Equity 75

Equity 75

Brian DeChesare

MAY 24, 2023

“Event-driven hedge funds” is one of the more confusing labels in finance. Part of the issue is that many different strategies fall within the “event-driven” category: merger arbitrage , activist investing , distressed investing, special situations, and more. By contrast, an event-driven fund would never bet on such a situation.

Equity 64

Equity Start-ups EBITDA Banking 64

Musings on Markets

JANUARY 21, 2023

While there are many events during 2022, some political and some economic, that one can point to as the reason for poor stock returns, it is undeniable that inflation was the driving force behind the market correction. Actual Returns Your returns on equities come in one of two forms. Stocks: The What? at the start of that year.

Equity 95

Equity Risk Premium Start-ups Dividends 95

Brian DeChesare

AUGUST 16, 2023

As with investment banking in Hong Kong , I can summarize private equity in China in one sentence: “If you’re not Chinese, don’t even think about it, and even if you are Chinese, it’s best if you have great connections within the CCP and want to stay in China long-term.”

Equity 94

Equity Banking Start-ups Private Equity Firm 94

Harvard Corporate Governance

JULY 8, 2022

The events of the summer of 2020 galvanized the country and drew attention to how systemic racism and injustice continue to burden communities of color. Niles are partners at Wachtell, Lipton, Rosen & Katz. This post is based on a Wachtell memorandum by Mr. Emmerich, Mr. Silk, Mr. Niles, Elina Tetelbaum , and Carmen X.

Equity 210

Equity Finance 210

Harvard Corporate Governance

APRIL 10, 2023

say-on-golden parachute proposal is an advisory shareholder vote on compensation that becomes payable to Named Executive Officers (NEOs) as a result of a change-in-control event. Introduction A U.S. more…)

Equity 150

Equity 150

Cooley M&A

OCTOBER 13, 2023

View the recording here.

Equity 52

Equity Marketability Banking 52

Harvard Corporate Governance

MAY 4, 2023

The amendments significantly expand the scope of the Form’s reporting requirements and increase the frequency of filings for large hedge fund advisers and private equity fund advisers. 1] Today’s amendments are the first step to reversing those initial, fruitful efforts at effective regulation. 5] (more…)

Compliance 228

Compliance Equity 228

Equidam

APRIL 16, 2025

But there’s another important context where valuation comes into play: issuing equity compensation to employees. When you’re issuing equity to employees, you want the strike price to be low. Because equity is meant to be a reward a stake in the company’s future success. Thats powerful motivation.

Equity 59

Equity Appraisal Compliance Finance 59

Benchmark Report

MAY 5, 2022

Dealsourcing is a key event in Germany for M&A professionals, hosting hundreds of participants including private equity firms, funding platforms, restructuring advisors, M&A advisors, and due diligence professionals, to name a few. Do you want to be featured and showcased in front of leading dealmakers?

Private Equity Firm 98

Private Equity Firm Equity Banking Finance 98

Harvard Corporate Governance

JUNE 6, 2022

4] But in light of recent events, public opinion, even viewed through the ESG lens, has seemed to shift away from the potentially harmful environmental impact of the industry towards the potentially positive social impact it may have in the defense against a harmful geopolitical actor. [5]

Private Equity Firm 214

Private Equity Firm Equity Marketability 214

IVSC

MARCH 31, 2025

The FCA has observed a growing trend of retail investors, rather than just traditionally sophisticated investors, venturing into non-public assets such as private equity, venture capital, private debt, and infrastructure. This shift reflects a broader global trend. In the U.S., In the U.S.,

Marketability 100

Marketability Equity Intangible Assets Compliance 100

Benzinga

OCTOBER 26, 2024

The Frieze Art Fair , a curated event featuring modern and contemporary works, is also for sale. billion all-equity deal that included Fort Worth, Texas-based Professional Bull Riders and live events business On. billion all-equity deal that included Fort Worth, Texas-based Professional Bull Riders and live events business On.

Equity 103

Equity Marketability 103

Reynolds Holding

SEPTEMBER 22, 2024

Two weeks ago, there was big news for “event contracts,” which provide for fixed payouts upon the occurrence of specified events and are sometimes referred to as “prediction” products. The case, however, raises a broader question related to event contracts: Are these contracts within the CFTC’s jurisdiction?

Marketability 45

Marketability Equity Finance 45

Equidam

AUGUST 10, 2023

Guest post from an Equidam partner: Bianca Iulia Simion , Marketing Lead at SeedBlink As the world of startups continues to evolve and mature, navigating the intricacies of equity management has emerged as a critical aspect of successful entrepreneurship. This leads to confusion and potential conflict during fundraising rounds.

Equity 52

Equity Capital Structure Dividends Marketability 52

Harvard Corporate Governance

JUNE 16, 2023

providing CVR holders a payment if the average market price of the issuer’s equity security is less than a preset target price) or event-driven (e.g., Executive Summary This study addresses CVRs, the public M&A analog to the earnout used in private deals, which can be price-driven (e.g.,

Equity 160

Equity Marketability 160

Brian DeChesare

JULY 3, 2024

When firms kicked off the on-cycle private equity recruiting process in June this year, before IB Analysts had even started their training , some people were shocked. ref: London private equity recruiting ), and smaller funds are mostly off-cycle. But those covering the industry for 20+ years were not surprised.

Equity 59

Equity Start-ups Banking Private Equity Firm 59

Harvard Corporate Governance

SEPTEMBER 14, 2024

Without a portability feature, loan agreements typically force a company to repay existing debt when being sold to a new owner by including a “change of control” event of default.

Equity 113

Equity Marketability 113

Musings on Markets

APRIL 7, 2025

Not surprisingly, the markets opened down on Thursday and spent the next two days in that mode, with US equity indices declining almost 10% by close of trading on Friday. US equities had the biggest decline in dollar value terms, losing $5.3 Other Markets As equity markets reacted to the tariff announcement, other markets followed.

Marketability 93

Marketability Risk Premium Start-ups Equity 93

Benzinga

OCTOBER 17, 2024

"This type of situation can be intriguing to investors" Kyle Kuzyk, newsletter writer for Equity Guru , wrote in an Oct. For Rex Resources Corp. , a British Columbian (B.C.) mineral explorer that went public in June 2021, the last five months have been a whirlwind of activity after a lull. "Rex Resources Corp.

Start-ups 52

Start-ups Equity Marketability 52

Brian DeChesare

OCTOBER 30, 2024

Corporate finance jobs at normal companies are bad … …if you’re using them to break into a deal-based field, such as investment banking , private equity , or venture capital , or as a “Plan B” if you interview around but do not get into one of these. The key questions that corporate finance teams answer also vary.

Corporate Finance 105

Corporate Finance Finance Treasury Banking 105

Valutico

MAY 19, 2025

This ratio offers insight into a companys profitability and relative value by comparing its total worth (Enterprise Value, encompassing debt and equity) to its operational earnings (EBITDA). EV typically includes Market Capitalization, Debt, Minority Interest, and Preferred Equity, minus Cash & Cash Equivalents.

EBITDA 52

EBITDA Enterprise Value Capital Structure EBIT 52

Brian DeChesare

SEPTEMBER 13, 2023

Ask anyone interested in distressed debt hedge funds for “the pitch,” and they’ll probably mention one of the following: “It’s like long/short equity or credit , but more interesting!” Distressed investing offers equity-like returns with lower risk.” Distressed assets offer non-correlated returns, similar to global macro.”

Equity 103

Equity Banking EBITDA Start-ups 103

Brian DeChesare

FEBRUARY 28, 2024

While everyone seems to know about equity research and trading stocks, fixed income research gets far less attention. Equity Research vs. Fixed Income Research Common Myths What Do You Do as a Fixed Income Research Analyst or Associate? Each role has common analytical elements, but the specifics and deliverables differ (e.g.,

Equity 59

Equity Banking Start-ups Risk-free Rate 59

Lighter Capital

FEBRUARY 12, 2024

Equity dilution is simply the result of supply and demand. To grow the business, founders and co-founders often sell an ownership stake in the company, or equity , to investors to raise capital; many will also issue equity to hire and compensate early team members. Think of equity shares as pieces of a pie.

Equity 52

Equity Start-ups Finance Marketability 52

Startup Valuation Blog

OCTOBER 5, 2021

or in other words, 'What equity percentage of your company do you offer in exchange for investors' cash? . Financial backers likewise need to see that colleagues are straightforwardly intrigued in a company's success through different equity packages, including stock options or company shares. .

Business Valuation 130

Business Valuation Equity Technology Marketability 130

RNC

AUGUST 15, 2023

Equity valuation holds significance. However, like any tool, equity valuation models present their fair share of challenges and limitations. In this blog post, we will delve into the balance, between precision and practicality, in equity valuation. Discuss strategies to overcome these hurdles.

Equity 52

Equity Discounted Cash Flow Equity Financing Business Valuation 52

RNC

JANUARY 16, 2024

Even if they have the potential to yield large financial gains, startup equity presents a complex terrain that calls for careful thought and deliberate planning. This Startup Stock Option Survival Guide will go over important pointers to keep your equity stake safe and enhance its worth.

Equity 52

Equity Banking Intangible Assets Marketability 52

Benzinga

MARCH 1, 2024

Everbridge, Inc. NASDAQ: EVBG ) shares are trading higher after it amended and restated the previously announced merger agreement with Thoma Bravo. As per the terms of the amended and restated deal, Thoma Bravo has increased the price at which it has agreed to acquire all outstanding shares of Everbridge to $35.00 per share in cash, or $6.40

Equity 64

Equity 64

IT Valuations

JULY 11, 2025

Offering Equity? Structure Matters S Corps restrict your ability to offer meaningful equity to employees or co-investors. ” This lets you reward key contributors without giving up current value—and sets you up to compete with private equity-backed buyers who often include rollover equity in their deals.

Equity 40

Equity 40