Hanson Trust PLC v. ML SCM Acquisition
At issue are breach of fiduciary duty by the board of SCM and whether the trial court should have considered the extensive evidence on whether the option prices were indeed "within the ...
Computing terminal value
In reviewing the Cost of Capital book, page 16, we noted Dr. Pratt's comments about the error in treating EBITDA as free cash flow. We also noted that Dr. Pratt utilizes net cash flow in his discussion of the Gordon Growth Model and the Two-Stage Model shown on pages 25 to 29.
Understanding the income valuation approach – a primer for judges
In determining the price to pay for a company, a buyer of a business ultimately looks to the return he will receive on his investment. That return might come in the form of annual dividends ...
Pitfalls in fairness opinion valuations
This article is excerpted from a longer paper prepared by Gil Matthews for presentation at the ABA Family Law Section's National Business Valuation Conference to be held May 3-5 in San Francisco, Cali ...
Gold v. Ziff Communications Co.
At issue is breach of contract.
Lost Business Value Damages Remanded for Calculation From Proper Date of Contract Breach
Among a complex web of disputes and grants of partial summary judgments, Gold sued Ziff Communications for breach of contract and sought lost business value damages.
Mid-year discounts
Duvall again correctly demonstrates that, if you use mid-year discounting, it's proper to use the Gordon Growth Model for the terminal value and then discount that terminal value by N years, not N - 0.5 years years.
McMullin v. Beran
At issue in this shareholder dispute case is breach of fiduciary duties in connection with Lyondell's acquisition of Chemical's shares.
In re: Unocal Exploration Corp.
At issue is breach of fiduciary duty.
Drawing a clear distinction between income and market approaches and methodology
The point of this column is to advocate that income approach methods be distinguished clearly from market approach valuation methods. The valuation profession has (somewhat arbitrarily) classified ...
Correct model depends on growth forecast
I understand the principle of capitalizing earnings projected for the next year, however I have difficulty in assessing the growth rate impact when using a multiple period earnings base. Un ...
Delaware Chancery Court Endorses DCF Model; Forecast Assumptions Must Be Likely Scenarios
In a dissent to a typical statutory merger of a company called Vitalink, dissenters owning 201,900 shares claim a fair value of $13.32 per share versus respondent's $8.50 per share.
Grimes v. Vitalink Communications
At issue is the fair value of petitioners' Vitalink shares based on corporation's future cash flows.
A View from the Street: How Wall Street's valuation approaches differ from independent fee appraisers
In this interview Gil and Mark share insights as to how Wall Street investment bankers' business valuation perspectives and methods differ from those typical of independent business valuation firms ...
Nebenzahl v. Miller
At issue is breach of fiduciary duties in connection with a merger agreement.
Wells v. Shearson Lehman/American Express
At issue is the valuation of stock in a management buyout, in which shareholder argues that the board and shareholders were misinformed as to the value of the stock.
Samjens Partners 1 v. Burlington
At issue are the terms of a merger agreement including breach of fiduciary duty.
Horwitz v. Southwest Forest
At issue are the rights of the stockholders in regards to "poison pill" warrants.