NEWSLETTER of November 8, 2019
The following content has been added at finexpert:
Tutorials
QoD22
Questions of doubt in corporate valuation QoD#22: Does the investor´s holding period have an impact on corporate valuation?
Bernhard Schwetzler
Infinite firm lifetime vs. limited holding period – a problem in corporate valuation? Standard DCF valuation models assume an infinite lifetime of the firm; this is in contrast to the limited holding period of many investors. This video discusses whether this disparity has to be taken into account in corporate valuation. (November 1, 2019). >more (videoarchiv QoD#1-22)
Studies > Performance
Boston Consulting Group
WAS ERFOLGREICHE AUFSICHTSRÄTE TATSÄCHLICH ANDERS MACHEN
What makes a supervisory board successful? How can the Supervisory Board make a valuable contribution to the company? In the largest survey to date of 120 German and Austrian Supervisory Board members, we conducted a statistical survey for the first time to determine what actually distinguishes the work of the most successful Supervisory Board members. The results are clear: Successful Supervisory Board members stand out in particular through effective teamwork and a strong strategic focus. >more
Studies > M & A
ZEW - Zentrum für Europäische Wirtschaftsforschung
M&A REPORT - OKTOBER 2019
The M&A Report is compiled jointly by the Centre for European Economic Research (ZEW) and Bureau van Dijk. The M&A Report semi-annually informs about current topics and developments in the field of worldwide mergers and acquisitions drawing on the Zephyr database. Zephyr provides detailed information on more than one million M&A, IPO and Private Equity transactions worldwide. >more
Studies > Alternative Investments
PwC
PRIVATE-EQUITY-REPORT: CREATING VALUE BEYOND THE DEAL
To help our clients unlock long-term value from the deals they are doing, we surveyed 100 PE partners from a range of geographies and asked about their experiences with value creation through M&A. All participants in our survey had made at least one significant acquisition and one significant divestment in the last 36 months. Drawing on our survey findings, interviews with leading market participants and our own experience of helping PE firms navigate the deals landscape, this report looks at how to boost multiples and deliver the full return potential on the transaction. >more
Studies > Alternative Investments
PwC / Bundesverband Deutsche Startups
DEUTSCHER STARTUP MONITOR DEUTSCHLAND
1,933 startups, 4,707 founders, 24,050 employees: this is what the 7th German Startup Monitor (DSM) stands for. Thanks to the support of more than 300 network partners throughout Germany, the DSM database is larger than ever and the selected focal points - like the subject of financing - provide new impetus in current debates. In addition to the general key data on the German start-up ecosystem, the 7th DSM provides detailed insights into the financing strategies of start-ups and addresses current topics such as employee participation. >more
Research Papers > Alternative Investments
WHOM TO FOLLOW: INDIVIDUAL MANAGER PERFORMANCE AND PERSISTENCE IN PRIVATE EQUITY INVESTMENTS
Reiner Braun, Nils Dorau, Tim Jenkinson, and Daniel Urban
2019
Using a sample of 3,977 individual buyout managers with more than 10,330 deal involvements in 5,030 unique buyout transactions we investigate individual manager performance and its persistence. We find evidence for deal-level gross PME performance persistence at this level of analysis. In explaining the cross-section of deal returns, the individual is around four times more important than the PE organization. Interestingly, none of the typical human capital variables (age, gender, MBA, PE tenure) has explanatory power in the cross-section of deal returns. >more
Research Papers > Corporate Finance
THE EFFECT OF ‘UNDERWRITER–ISSUER’ PERSONAL CONNECTIONS ON IPO UNDERPRICING
Hossein Khatami, Maria?Teresa Marchica, and Roberto Mura
2018
Using a large sample of initial public offerings in the U.S. we show that personal connections between directors and top executives of issuers and underwriting banks result in significantly lower levels of IPO underpricing. We estimate the average effect to be about 12 percentage points. The results hold with several alternative robustness tests including additional controls for managerial traits, matching exercises and doubly robust estimation. We use a very wide set of criteria to split subsamples of firms that are expected to be more/less exposed to asymmetric information problems. Our results indicate that the effect of connections is significantly stronger for companies that suffer more from asymmetric information problems. This corroborates the idea that the lower level of underpricing for connected companies reflects better flow of information with the underwriter. >more
