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Preparing a VC-Backed Company for an Exit Event

JD Supra: Mergers

Initial public offerings (IPOs) and M&A exits are the two most common means of achieving liquidity in a private company. This article addresses an acquisition transaction, which requires preparation and oversight that many founders and managers need to learn as they go.

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Exit Strategies for PE Investors

OfficeHours

In this article, we will describe a few of the common exit strategies in detail and what considerations a private equity firm as well as the target company typically considers when determining the optimal exit strategy. An IPO involves offering shares of a privately held company to the public in a new stock issuance.

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Stages of a Private Equity Investment Process Decoded

Wizenius

In this article, we will delve into the three key stages of the PE investment process: Acquire, Grow, and Exit. For instance, when a fast-growing e-commerce player like Shopify reaches its peak, an exit via an Initial Public Offering (IPO) can yield substantial profits.

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Convertible Bonds in Today’s Economy

MergersCorp M&A International

Financial Times published an article stating that US companies dive into convertible debt to hold down interest costs. The strained relations between the US and China, marked by broad financial sanctions and regulatory scrutiny have made initial public offering and follow on share sales nearly inaccessible for Chinese firms.

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08-20-2023 Newsletter: Sunday Reading

OfficeHours

Once improved, the exit can then take place, usually in the form of another sale or an Initial Public Offering (IPO), both of which are usually under the advice of an investment bank. Schedule an Intro Call With One of Our Top Coaches and Get a Taste of what OfficeHours Can Offer You!

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How Common are Postmerger Divestitures of Acquired Company Units?

M&A Leadership Council

For example, in Switzerland, Sandoz and Ciba spun off their chemicals business units – one as a taxable initial public offering and one as a tax-free “demerger” – before merging their pharmaceutical cores into Novartis. Recent U.S. examples include Sara Lee Corp.’s Sometimes spin-offs precede mergers.

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Why Aren’t More Tire Dealerships Going Public?

Focus Investment Banking

I still recall the metric that was drilled into me back then: hit $50 million in revenue and a few back-to-back years of profitability and you, too, can go public. The benefits of going public are significant. This article was previously published on Modern Tire Dealer.