August 2006
Intermediate to advanced
696 pages
23h 12m
English
What is the value of controlling a business? The answer to this question has wide-ranging implications for how stocks are priced and the premiums that should be paid in acquisitions. In this chapter, we examine why there may be value to controlling a firm and how to go about measuring this value. We then consider the wide array of cases where the value of control applies ranging from the premiums that you would pay for voting shares (as opposed to nonvoting shares) to the minority discounts in private company valuations.
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