MergersCorp M&A International

JUNE 5, 2025

This increased risk can lead to a higher weighted average cost of capital (WACC) for the target, further reducing its discounted cash flow (DCF) valuation. Sellers will often try to carve out general economic or geopolitical events from MAC definitions, but specific tariff impacts can be harder to exclude.

Mergers and Acquisitions

Mergers and Inquisitions

JANUARY 22, 2025

The difference is that IB is more of an explicit sales job , as deals must close for the bank to earn fees. Equity research at the senior levels does require sales skills, but its more about being a conduit than a closer. Investment Banking: Outlook, AI, and Automation Equity Research vs. Investment Banking: Which Ones Right for You?

Investment Banking

Francine Way

JULY 12, 2017

As I mentioned in my last post, Discounted Cash Flow (DCF) is a valuation method that uses free cash flow projections, a discount rate, and a growth rate to find the present value estimate of a potential investment. The major steps of DCF are: Identify extraordinary, unusual, non-recurring items from the target’s 10-Ks and 10-Qs.

Discounted Cash Flow

Lake Country Advisors

AUGUST 8, 2024

Accurate and appropriate valuation is one of the pillars of maximizing the profits from a business sale. It’s integral to ensuring that the sale benefits all stakeholders and should be one of your priorities before advertising it to potential buyers. million Year 2: $2 million / (1 + 0.10)^2 = $1.65 million + $1.65 million + $2.25

Discounted Cash Flow

Successful Acquisitions

MARCH 2, 2023

We see payables from customers, but not the long relationship and reputation that fostered those sales. sales or 7x EBITDA. The first potential problem is that this approach is by definition backward-looking. A third potential problem is the definition of the word “comparable”.

Valuation

Mergers and Inquisitions

MARCH 13, 2024

Growth Equity Definition: In traditional growth equity, firms invest minority stakes in companies with proven business models that need the capital to expand; some firms also use “growth buyout” strategies, which are like traditional leveraged buyouts but with higher growth potential. You could keep going and add plenty of names.

Private Equity

Mergers and Inquisitions

NOVEMBER 1, 2023

Before delving into these nuances, we should take a step back and define the sector: Definitions: What is a Healthcare Private Equity Firm? This definition excludes life sciences and biopharmaceutical companies because they differ greatly from service and device companies. That said, there is far more healthcare PE activity in the U.S.

Private Equity