Remove Debt Remove Public Trading Remove Shares
article thumbnail

M&A Blog #14 – valuation (roles, types, equity & enterprise values)

Francine Way

Do they have the cash of debt/equity capacity to bid aggressively? The status of the acquirer’s own share price will impact its acquisition currency. In other words, the company or its other shareholders can buy back a shareholder’s outstanding shares at a predetermined valuation (typically less than a 3rd-party acquisition).

Valuation 130
article thumbnail

Upgrade acquires travel-focused BNPL startup Uplift for a song

TechCrunch: M&A

Uplift had raised nearly $700 million in equity and debt, securing $123 million at a reported $195 million valuation in its Series C round alone. ” Laplanche is referring to the BNPL-style product that Upgrade launched in October 2021, which lets users pay down their debt over six to 36 months with a fixed interest rate.

Finance 243
Insiders

Sign Up for our Newsletter

This site is protected by reCAPTCHA and the Google Privacy Policy and Terms of Service apply.

article thumbnail

M&A Blog #17 – valuation (Comparable Company)

Francine Way

Calculating cost of debt, cost of equity, and weighted average cost of capital (WACC). Calculating the Equity Value and the per-share Equity Value - this number would serve as the base case share price valuation. Enterprise Value = Market Capitalization + Total Debt - Total Cash.

Valuation 130
article thumbnail

How Private Equity uses ‘Roll-up’ Strategies to Drive Investment Returns

OfficeHours

For example, whereas 10 independent veterinary clinics might each have their own human resources and accounting functions, a roll-up platform will have centralized functions that can be shared across multiple clinics. To illustrate this point, let us consider the landscaping industry.

article thumbnail

Why Take-Private Dealmaking Remains Attractive for PE Investors

OfficeHours

The shares of the company are bought out and delisted from the public stock exchange that the company trades on. First, private equity identifies the publicly traded company they believe is undervalued or could perform better as a private entity without the pressures of being a public entity (e.g.

Investors 100
article thumbnail

Methods and Examples on How to Value a Company

Lake Country Advisors

Market Capitalization Market capitalization is one of the simplest and most commonly used methods for valuing a publicly traded company. It is calculated by multiplying the current share price by the total outstanding shares. First, identify a group of similar publicly traded technology companies.

article thumbnail

10-23-2023 Newsletter: Why Take-Private Dealmaking Remains Attractive for PE Investors

OfficeHours

The shares of the company are bought out and delisted from the public stock exchange that the company trades on. First, private equity identifies the publicly traded company they believe is undervalued or could perform better as a private entity without the pressures of being a public entity (e.g.

Investors 130