Graduate School of Business Administration University of Virginia UVA-F-1274 METHODS OF VALUATION FOR MERGERS AND ACQUISITIONS This note addresses the methods used to value companies in a merger and acquisitions (M&A) setting. It provides a detailed description of the discounted cash flow (DCF) approach and reviews other methods of valuation‚ such as book value‚ liquidation value‚ replacement cost‚ market value‚ trading multiples of peer firms‚ and comparable transaction multiples. Discounted
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Ilit Raz EMBA – Dickens Cohort Jan 2013 Company Valuation - Elbit Systems Ltd. The following document will try to describe the financial assets and the portfolio of “Elbit Systems” and a company valuation. As part of my military service I spend some time in different project in Elbit Systems‚ working with their R&D department. For the company valuation I’ll use Discount Cash Flow (DCF) method. After valuating the company I’ll calculate the discount premium
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------------------------------------------------- MEMORANDUM To: Ana Bellario‚ Director of Market Strategy for Eurotel From: xxx Date: October 14‚ 2012 Subject: Regression Model for 3G License Valuation Estimation ------------------------------------------------- Background As part of the European expansion plan‚ Eurotel is planning to bid on 3G licenses in Hungary‚ Russia and Turkey. Usually‚ the operator determines the maximum price to bid following three steps: 1. NPV analysis
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Case study—JetBlue airways IPO valuation Introduction: As a leader of airways industries‚ JetBlue is successful because of professional services and a good management team. In 2002‚ JetBlue became a public company. Despite the fact that US airline industry had witness 87 new airline failures over the previous 20 years‚ Jetblue overcame difficulties and expressed confidence in the bright future. Before going public Before going public in 2002‚ JetBlue has outstanding advantage in the whole
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instruments such as bank loans or bonds‚ and the term required return is applied to equity investments‚ such as common stock‚ that give the investor an ownership stake in the issuer. In fact‚ the meaning of these two terms is quite similar because‚ in both cases‚ the supplier is compensated for providing funds to the demander. A variety of factors can influence the equilibrium interest rate. One factor is inflation‚ a rising trend in the prices of most goods and services. Typically‚ savers demand higher
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Part A: Long-term debt can generally be classified into three different categories: bonds payable‚ notes payable‚ and capital leases. Bonds payable can be secured by collateral‚ such as a mortgage bond‚ or unsecured‚ backed only by a company’s promise to pay. Most bonds carry a stated rate of interest but others are sold at a discount with an implied rate of interest inherent in the discounted sale. Some bonds can be converted into other securities. Other bonds can be called in by the corporation
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of downsizing are mixed at best. This paper doesn ’t serve as an approach to downsizing‚ rather‚ it explores the many aspects of downsizing‚ from when it ’s time to downsize to what steps that can be taken to avoid the process altogether. Corporate Downsizing: An Overview There are many reasons why a company downsizes. Layoffs began as a way for companies to offset a decline in earnings‚ but quickly became a popular practice even in companies that were doing well financially. A 1994 survey
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MEMO To : Dr Janie Liew-Tsonis From : NurulJannah Binti Ismail Date : 6 March 2013 Subject: Three reasons for choosing UMS ========================================================= Choosing the right university is crucial. The main reason being‚ the right university provides you with the opportunity to grow and gain knowledge. First main reason‚ I choose to enter Universiti Malaysia Sabah is because I want to gain more opportunity and experience here. As we know Sabah situated on the
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Certified Business Appraisals‚ LLC Business Valuation Report Prepared for: John Doe Client Business‚ Inc. 1 Market Way Your Town‚ CA July 25‚ 2010 1 Market Street Suite 100 Anytown‚ CA 95401 Web: www.yourdomain.com | Tel 1-999-BUS-NESS | Email appraisals@yourdomain.com Table of Contents Description of the Appraisal Assignment............................ 6 Standard and Premise of Value .......................................... 6 Scope of the Report ...........................
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Private equity‚ pecuniary logic and enterprise restructuring Private equity firms‚ which in recent decades have become an important avenue for financial transactions in the US and UK markets‚ are being hard hit by the sub-prime crisis as they are unable to source their funding from investors. The resulting credit crunch and financial turmoil may also pose a threat to developing-country financial markets where they have become significant investors‚ particularly in Asia. The danger‚ according to
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