ABSTRACT BACKGROUND: During the last two years, most of the Private Equity (PE) companies of Bangladesh have increased their investments significantly. Easy access to capital, as well as inexpensive leverage, has led to an increase in activity of PE buy-outs of market leaders with strong cash flow. The competition for objects that are for sale has amplified, which has resulted in price increases of the objects. The higher prices offered by the PE companies also affects the number of initial public
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and medium enterprises” are elusive concepts. They do in fact hide a large heterogeneity in the types of the firms. The Nigerian concepts of SMEs are somewhat divergent but the Central Bank of Nigeria agrees with the Small and Medium Industries and Equity Investment Scheme (SMIEIS) in their definition of a SME as any enterprise with a maximum asset base less than N200 million (equivalent of about $1.43 million) excluding land and working capital, and with the number of staff employed not less than
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investment in equipment to enable the company to make rather than buy their own envelopes The acquisition of Creative Designs Inc., a small Midwestern manufacturer of studio cards The possibility of going to the market to raise additional equity capital in order to relieve pressure on its financial position Identification of Relevant Facts Friendly’s position in the industry As of early 1988, the main issues facing the greeting card industry were: Continued industry consolidation (a
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investment in equipment to enable the company to make rather than buy their own envelopes The acquisition of Creative Designs Inc., a small Midwestern manufacturer of studio cards The possibility of going to the market to raise additional equity capital in order to relieve pressure on its financial position Identification of Relevant Facts Friendly’s position in the industry As of early 1988, the main issues facing the greeting card industry were: Continued industry consolidation
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1. What are the procedures related to the securitization of receivables using SPEs? Describe all parties involved in this process. In general, the securization of receivables involves the following procedure: ● A special purpose entity (SPE) is created by a third party which is independent of the company (referred to as the transferor) with receivables. ● The transferor will first transfer its receivables to the SPE. ● The SPE issues securities (i.e. commercial papers) using these receivables
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THE BASICS OF PRIVATE EQUITY With its bright performance in 2010, Indian PE has re-emerged in good shape from the turbulent times of the global credit meltdown and subsequent economic retrenchment. Deal activity has rebounded more quickly than in other Asia-Pacific markets, the exit markets are healthier than ever and capital continues to pour into an expanding number of domestic and international PE funds. Investment in P.E. firms adds value and managerial capacity in companies that are in need
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Leverage Buyout A leveraged buyout (LBO) occurs when an investor, typically a financial sponsor, acquires a controlling interest in a company's equity and where a significant percentage of the purchase price is financed through leverage (borrowing). The assets of the acquired company are used as collateral for the borrowed capital, sometimes with assets of the acquiring company. Typically, leveraged buyout uses a combination of various debt instruments from bank and debt capital markets. The bonds
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The Wall Street Journal Private-Equity Firms Notch Up Gains but Face Investing Challenges; Strong Debt and Stock Markets Have a Flip Side By Ryan Dezember Feb. 20, 2014 In a year of record-setting profits, the big publicly traded U.S. private-equity firms were rewarded by investors with billions of dollars of new money for their next round of buyouts. Yet the same frothy debt and stock markets that have made it an ideal time for these firms to sell companies have made it increasingly difficult
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have December 31 year-ends. Other relevant facts: • Risk related to LeaseMed’s operations is designed to pass to equity holders per their ownership interest. • Both parent companies have determined that substantially all of the activities of the joint venture do not involve or are not conducted on behalf of either company. • All of LeaseMed’s equity meets the definition of “equity at risk”. • LeaseMed has not been able to issue investment grade debt. • LeaseMed’s expected losses exceed $1,000
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Case Study Russian Standard Vodka: Strategies for Global Branding and Expansion into the US Market INTRODUCTION 1. Russian Standard Vodka is a major Russian premium vodka brand. Established in 1992, Roust Inc. is Russia’s largest importer and distributor of spirits and Champagnes. In 1998, Roust launched Russian Standard vodka, which quickly became the highest selling premium vodka in Russia, ahead of established international and local brands such as Stolichnaya, Smirnoff, Finlandia and
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