Valuing private firms

Research findings have demonstrated a statistically significant negative correlation between profitability, growth, and liquidity and the capital structure measured by the debt ratio. Although it also decreases with non-debt tax shields, this variable does not have statistical meaning with the dependent variable. Size is the only variable with a positive correlation coefficient, but no statistical significance was found either. The results of the study can help these firms build a reasonable capital structure to enhance their intrinsic value.

15p leminhvu111 07-06-2024 1 0   Download

Despite an increase in governments' demand for private participation in infrastructure, Public-Private Partnerships (PPPs) have received low engagement from the private sector in the task of bridging infrastructure gaps in emerging markets. Previous literature in the field mainly focuses on the effects of PPPs from the governments' perspective and it is inconclusive in its examination of the advantages and disadvantages of the private sector's participation.

235p runthenight04 02-02-2023 5 1   Download

Lecture Class #17: Issues in mergers and acquisitions. After studying this section will help you understand: strategies for valuing private firms, enterprise valuation, a review of the latest in M&A accounting.

18p huangminghao_1902 27-02-2022 12 1   Download

This paper theoretically and empirically explores the reason why Chinese enterprises engage in inefficient investment from the government’s grabbing hand perspective on a large sample of 8501 firm-year observations between 2003 and 2011. The results suggest that influenced by the grabbing hand of local officials, private enterprises exhibit significantly higher investment distortion and inefficiency in terms of overinvestment and underinvestment than the enterprises controlled by the governments at all levels.

39p trinhthamhodang2 21-01-2020 33 2   Download

Small businesses’ share of private-sector employment is a constant shuffle of employer-employee matches. Some employees may even consider the size of the firm in their decision to accept an employment offer or to jump ship. But even though economists may think in terms of individuals choosing to work for small or large firms, it’s more likely that workers choose an occupation and then a job that an employer offers. Some occupations are in greater supply in small firms than large firms. For instance, someone choosing to be a dental hygienist would tend to work for a small...

28p nhacchovina 25-02-2013 53 4   Download

The private sector consists of small businesses and large businesses. And the government often defines small as firms with fewer than 500 employees. 4 Using this definition, one-half of the private sector is populated by small businesses and the other half by large businesses. Or, put another way, in 2006, 60 million people were employed by smalls, and 60 million by large.

7p nhacchovina 25-02-2013 37 3   Download

The analysis by Tirole (2008) of maturity transformation by financial intermediaries such as pension funds and insurance companies which have (uncertain) long-term liabilities (and assets of a shorter maturity) carries this Keynesian tradition further. In the presence of macroeconomic shocks that affect everybody simultaneously, he argues, private sector assets are not useful. Instead what is needed is an external risk-free store of value such as government bonds.

33p taisaovanchuavo 23-01-2013 52 5   Download

The main differences between a hedge fund and a private equity fund are: (a) the private equity fund looks to use leverage to buy companies to obtain full management control for purposes of changing its structure operations, whereas a hedge fund trades assets without looking for full control; (b) the hedge fund covers a multitude of styles, only one small part of which might involve buying shares to force management to make value enhancing changes (activist); and (c) hedge funds often (but not always) have a shorter investment horizon than private equity firms.

13p quaivatdo 18-11-2012 53 5   Download

or purposes of this book the term private equity refers to the common stock of a corporation where that common stock is held by a relatively few investors and is not traded on any of the conventional stock markets. Normally the senior managers of the firm hold a significant percentage of the firm's stock, and we will assume that is the situation in all the cases discussed in this book. F

213p batrinh 16-07-2009 190 67   Download