Wizenius

MAY 4, 2023

Venture Capital (VC) Term Sheet: In a venture capital deal, a term sheet might include the following key terms: The amount of funding being offered by the VC firm The valuation of the company (i.e.

Investment Banking 52

Investment Banking Investment Bank Banking 52

Mergers and Inquisitions

OCTOBER 30, 2024

Better transition roles for moving into IB/PE/related fields are corporate banking , Big 4 TS/TAS/valuation , credit analysis , or even commercial real estate or management consulting. For example, some groups are dedicated to pricing, internal audits, or evaluating and hedging risks (interest rates, FX rates, and even macro events).

Corporate Finance 105

Corporate Finance Finance Finance Corporation 105

Mergers and Inquisitions

JANUARY 22, 2025

In equity research, the goal is to get clients to pay for the teams research consistently , but revenue does not depend on deals or other specific events. But you would not build models for M&A deals, leveraged buyouts, or debt/equity issuances in research or at least, they would be far simpler than the IB versions.

Investment Banking 64

Investment Banking Equities Bank Banking 64

Mergers and Inquisitions

JANUARY 24, 2024

minutiae about issues like OID for debt issuances ) and did not accurately represent a 1- or 2-hour case study. Specifically, should we invest €60 million at a pre-money valuation of €1.2 billion and €50 million at a €800 million pre-money valuation if we’re targeting a 3.0x They over-complicated the financial model (e.g.,

Equities 105

Equities Valuation Financial Statement Financial Modeling 105

Focus Investment Banking

JANUARY 28, 2024

In the event of a sale, would it be you who is receiving liquidity—or are you the one providing it? The younger partners were presented with a dilemma: They could each increase their stakes in the business and collectively control it but would have to take on—and be personally liable for—the $25 million in debt. If so, congratulations.

Professional Services 52

Professional Services Sale Private Equity Debt 52

The TRADE

JULY 28, 2023

Are global macro events making emerging markets more appealing to institutional investors? Despite the ups and downs in the global economy, emerging markets debt has been performing quite well this year. But the most interesting part – local debt in these emerging markets has been shining particularly bright.

Debt 52

Debt Investors Economics Trading 52

Software Equity Group

AUGUST 24, 2023

Recapitalization is a process of restructuring a company’s debt and equity mix, also known as its capital structure. Selling a portion of the business also means giving up some control and share in future liquidity events, however. In the software industry, debt recapitalization can be a particularly useful tool.

Debt 52

Debt Equities M&A Investors 52

InvestmentBank.com

MAY 26, 2021

As vaccine distributions bring us ever closer to putting COVID-19 firmly in our rearview mirror, the past year will become remembered as a period of cancelled plans, mask mandates, and bizarre events unlike anything most of us had seen in modern history. of debt capital raised in 2019 [9].

Capital Raising 52

Capital Raising Capital Debt Private Equity 52

Focus Investment Banking

OCTOBER 30, 2023

While overall M&A activity among tire retailers, wholesalers and commercial tire dealerships remains active but noticeably slower, it’s harder for wholesalers and commercial tire dealerships to have a sale event as compared with retailers. First, the valuation you get can be very fair,” says Beard. continues Beard. “I

Debt 52

Debt Retail Business Private Equity 52

How2Exit

JULY 13, 2023

The criteria include factors such as valuation multiples, legal issues, availability of buyers, ESG focus, maturity, and competition. They stress that owning a business should not mean sacrificing time with family and missing out on important events. Therefore, the net profit of $200,000 should be the basis for valuation.

Business 130

Business Collaboration Mergers and Acquisitions Valuation 130

Sica Fletcher

JULY 1, 2020

This reflected the impact of valuations on deal flow and an increasing imbalance of potential sellers and buyers. This was symptomatic both of how the PE industry expanded in recent years and the impact of sky-high valuations on deal making activity. Of course, no one can predict the course of events in the future.

Private Equity 52

Private Equity Insurance Debt Equities 52

Software Equity Group

MAY 28, 2024

This created various challenges throughout the process and very likely reduced our exit valuation. This resource details what quantitative and qualitative aspects buyers prioritize when creating valuations. These improvements will not only help your org today, but you will also get a better exit valuation.

M&A 52

M&A Private Equity Valuation Equities 52

Software Equity Group

MAY 28, 2024

This created various challenges throughout the process and very likely reduced our exit valuation. This resource details what quantitative and qualitative aspects buyers prioritize when creating valuations. These improvements will not only help your org today, but you will also get a better exit valuation.

Sale 52

Sale Private Equity Valuation M&A 52

Cooley M&A

MARCH 1, 2019

Even for a thriving business with a viable equity story, committed stakeholders and the right advisers, the final deal terms and valuation are typically guided by factors beyond a company’s control. Stock market forces also make the timing of an eventual outright exit and the final blended valuation of equity sales over time uncertain.

IPO 52

IPO Valuation M&A Business 52

Focus Investment Banking

JANUARY 10, 2025

The era of the single store generalist Body Shop is coming to an end is the subject of this month’s series, and it’s based on a presentation I’ve been giving at SEEMA Association events and beyond. That valuation depending on how you look at it, boils down to 193% of sales or about 15 times EBITDA.

Private Equity 52

Private Equity Mergers and Acquisitions M&A Equities 52

Mergers and Inquisitions

MAY 15, 2024

If you Google this topic and look at the results, you’ll find articles and discussions about LBO models and points like the returns attribution analysis : This type of “value creation” measures the returns sources in a buyout deal: Debt paydown vs. multiple expansion vs. EBITDA growth. Why is PE Value Creation Suddenly “Hot”?

Private Equity 105

Private Equity Equities Consulting Recruitment 105

How2Exit

MARCH 24, 2023

It involves agreeing to pay the seller a certain amount of the purchase price over a period of time, provided certain events happen. As the economy trends towards recession, debt becomes more expensive, making it harder for small businesses to sell. Initially, the company was looking for a valuation of ten million dollars.

M&A 130

M&A Business Mergers and Acquisitions Investors 130

Lake Country Advisors

AUGUST 28, 2024

Assessing the Value of Your Small Business The accuracy of your business’s valuation is essential for a successful sale. An effective valuation sets realistic negotiation expectations and attracts qualified buyers. Business brokers provide critical insights into how local economic elements influence these valuations.

Business 52

Business Sale Valuation Manufacturing 52

Sica Fletcher

JUNE 2, 2020

Furthermore, as we have reported in previous blogs, these agencies already had their equity and debt capital lined up before the full force of the pandemic hit. As a result, they had and continue to have large pools of equity and debt capital to deploy in acquisitions. What will the economic recovery look like?

Insurance 52

Insurance Broker Private Equity M&A 52

Mergers and Inquisitions

MARCH 13, 2023

Remember that, normally, a bank issues loans and then finds the liabilities (deposits, debt, etc.) If you’re familiar with bank accounting, valuation, and regulatory capital (i.e., to back them. Wait, Shouldn’t Regulations Have Prevented the Silicon Valley Bank Failure?

Bank 123

Bank Banking Funds Government 123

Software Equity Group

JUNE 27, 2023

For the sake of simplicity, this example assumes you own 100% of the company’s equity, have an aggregate $5M of bank debt and transaction expenses, and both offers assume $20M is financed by the buyer through debt. You would make $95M after paying off the company’s debt and transaction expenses.

Equities 52

Equities IT Private Equity M&A 52

RKJ Partners

AUGUST 6, 2017

Strategy 5: Consider Subordinated Debt as an Alternative to Equity Most CFOs are familiar with the two financing products: senior debt and equity. Probably the most exotic of the instruments is subordinated debt. While not a household name, subordinated debt has been around for over 25 years.

Capital Raising 40

Capital Raising Capital Debt Finance 40

Wall Street Mojo

JANUARY 17, 2024

The Credit default swap helps to transfer the credit risk Credit Risk Credit risk is the probability of a loss owing to the borrower's failure to repay the loan or meet debt obligations. In other words, the value of a Derivative Contract is derived from the underlying asset on which the Contract is based. Credit default swap on bulk entities.

Financial Modeling 52

Financial Modeling Financial Models Insurance Valuation 52

Sica Fletcher

JULY 23, 2024

Since H2 2022, industries across the board (including insurance) have seen declines in deal volume as prospective buyers have withheld their funds for more favorable conditions in which the cost of debt is not so high. It is possible that deal durations may decrease if interest rates are lowered; however, this is no guarantee.

M&A 52

M&A Insurance S&P Valuation 52

Wall Street Mojo

JANUARY 16, 2024

While these discrepancies, in many cases, are caused due to human error or unintentional attempts, there are events where the differences in records are due to fraudulent attempts or voluntarily mistreated data. If a company has to track bounced checks or solen cash, the gaps can help identify such events along with the amount.

Accountant 52

Accountant Bank Banking Financial Modeling 52

Mergers and Inquisitions

JULY 19, 2023

Non-Equity Funds – Finally, it is difficult to “short” certain securities effectively, such as distressed debt and many types of credit (especially structured products ). Think: a deep review of companies’ financial statements, 3-statement models , and DCF-based valuations. Turnover is also high, especially at the large multi-managers.

Funds 52

Funds Asset Management Management Equities 52

M&A Leadership Council

JUNE 18, 2024

Financial risks: credit risk, liquidity risk, market risk, and valuation issues. Create contingency plans for high-impact risks: Develop detailed action plans for responding to risk events. The assessment covers a wide range of areas, including financial, operational, legal, regulatory, cultural, and strategic aspects of the deal.

Risk Assessment 52

Risk Assessment M&A Mergers and Acquisitions Risk Management 52

Mergers and Inquisitions

APRIL 12, 2023

Social/Networking: Finally, there may be a networking panel or “social event,” such as a group lunch, which will take another 30 – 60 minutes. Complete a modeling test , such as a simple merger model , the Enterprise Value bridge calculation , valuation multiples, or credit stats and ratios in different scenarios. Why or why not?

Investment Banking 64

Investment Banking Bank Banking Investment 64

M&A Leadership Council

JUNE 18, 2024

Financial risks: credit risk, liquidity risk, market risk, and valuation issues. Create contingency plans for high-impact risks: Develop detailed action plans for responding to risk events. The assessment covers a wide range of areas, including financial, operational, legal, regulatory, cultural, and strategic aspects of the deal.

Risk Assessment 40

Risk Assessment M&A Mergers and Acquisitions Risk Management 40

Growth Business

AUGUST 3, 2023

Cash from a previous exit Serial entrepreneurs – in the unlikely event they’re reading this article – can use money from a previous investment too. It really depends on the company valuation and how much company equity you want to give away. It’s not an exact science, so it’s best to seek out guidance on your valuation.

Funds 52

Funds Investors Investment Business 52

How2Exit

AUGUST 22, 2023

Networking, attending industry events, and leveraging personal connections can help identify potential acquisition opportunities. This analysis reveals that a high debt load can significantly impact profitability and potentially eliminate a company from consideration.

Financial Analysis 130

Financial Analysis Acquisitions Business Investment 130

OfficeHours

JULY 18, 2023

It quickly became uneconomical for exploration and production companies to keep on drilling, meaning there was no need for the equity and debt capital that was typically raised on a quarterly basis. The implications of these events were massive, fueling fear and speculation that other countries would similarly leave the EU.

Investment Banking Analyst 130

Investment Banking Analyst Funds Recruitment Investment Banking 130

Bronte Capital

MAY 21, 2021

There is the risk for the consolidated financial statements that the calculation of impairment loss allowances is not carried out in an appropriate manner or is based on inappropriate assumptions, an inappropriate database or inappropriate application of the valuation model and, as a result, the impairment loss is reported in an incorrect amount.

Financial Statement 100

Financial Statement Management Accountant Risk Assessment 100

Mergers and Inquisitions

APRIL 10, 2024

This happened for a few reasons: 1) Soaring Valuations – Many sources say that sports team valuations “outperformed” the S&P 500 over the past 20 years, which is a polite way of saying that many teams are now valued at extremely high multiples. only a handful a decade ago). Examples include Ares (now with a $3.7

Private Equity 103

Private Equity Equities Funds Entertainment 103

Cooley M&A

JANUARY 25, 2023

Amid depressed valuations, biotechnology companies also saw an increasing number of demands from activist investors that in certain cases led to more deal activity. For example, the sale of Horizon Therapeutics to Amgen for approximately $28 billion was the third-largest all-cash transaction in the pharmaceutical sector in history.

M&A 40

M&A Mergers and Acquisitions Pharmaceutical Collaboration 40

How2Exit

JULY 3, 2023

It mentions that there is approximately $2 trillion in private equity, private debt, and venture capital that is committed but uninvested. It suggests that hostile responses often come from larger competitors or independent sponsors who may question the valuation of the business.

Mergers and Acquisitions 130

Mergers and Acquisitions Business Negotiation Private Equity 130

FineMark

OCTOBER 17, 2023

budget deficit and its upcoming substantial debt repayment, which will require refinancing in the next three years and expand the size of current Treasury auctions. With the risk of a recession still looming, we remain defensive when considering market valuations and our outlook for a deteriorating macro view.

S&P 52

S&P Investment Portfolio Corporation 52