scholarly journals Valuation And Market Timing In Private M&A Transactions

2011 ◽  
Vol 1 (8) ◽  
Author(s):  
Ted Azarmi ◽  
Florian Eisele ◽  
Christine Haecker
Keyword(s):  
Market Timing ◽  
Point Of View ◽  
Font Size ◽  
Private Companies ◽  
Maximum Price ◽  
Business Conditions ◽  
Privately Held Firms ◽  
Time Required ◽  
The Right ◽  
Privately Held

<p class="MsoNormal" style="text-align: justify; margin: 0in 0.5in 0pt; mso-pagination: none;"><span style="font-size: 10pt; mso-bidi-font-size: 12.0pt;"><span style="font-family: Times New Roman;">The objective of this case is to teach and initiate a classroom discussion about the optimal market timing for the sale of a mid-cap privately held firm.<span style="mso-spacerun: yes;">&nbsp; </span>The discussion is facilitated by a real world case example that focuses on the sale of a Little Rock, AK based plastic injection molding company with approximately $20 million in revenues.</span></span></p><p class="MsoNormal" style="text-align: justify; margin: 0in 0.5in 0pt; mso-pagination: none;"><span style="font-size: 8pt;"><span style="font-family: Times New Roman;">&nbsp;</span></span></p><p class="MsoNormal" style="text-align: justify; margin: 0in 0.5in 0pt; mso-pagination: none;"><span style="font-size: 10pt; mso-bidi-font-size: 12.0pt;"><span style="font-family: Times New Roman;">Theoretical and practical issues central to receiving maximum price in relation to selling at the right time are addressed.<span style="mso-spacerun: yes;">&nbsp; </span>Considered are the desired time to close the deal from the owner&rsquo;s point of view, the time required for successful completion of the sale process, business conditions in this industry, firm-specific business conditions, and ability of agents to time this market.<span style="mso-spacerun: yes;">&nbsp; </span></span></span></p><p class="MsoNormal" style="text-align: justify; margin: 0in 0.5in 0pt; mso-pagination: none;"><span style="font-size: 8pt;"><span style="font-family: Times New Roman;">&nbsp;</span></span></p><p class="MsoNormal" style="text-align: justify; margin: 0in 0.5in 0pt; mso-pagination: none;"><span style="font-size: 10pt; mso-bidi-font-size: 12.0pt;"><span style="font-family: Times New Roman;">This case also discusses various reasons for the sale of private companies and the effect of respective sale motives on the placement of these firms.<span style="mso-spacerun: yes;">&nbsp; </span>Principally, the retirement decision by the owners of small privately held firms as the most frequent reason for the sale of these companies is explored.</span></span></p>

Information asymmetry in CSR reporting: publicly-traded versus privately-held firms

2020 ◽  
Vol 11 (1) ◽  
pp. 207-232 ◽  
Author(s):  
L. Emily Hickman
Keyword(s):  
Information Asymmetry ◽  
Global Reporting Initiative ◽  
Publicly Traded ◽  
Private Companies ◽  
Content Type ◽  
Public Firms ◽  
Csr Reporting ◽  
Reporting Decisions ◽  
Privately Held Firms ◽  
Privately Held

Purpose This paper aims to investigate the motivations behind the publication of corporate social responsibility (CSR) reports, and particularly the effect of information asymmetry between firms and their owners. Design/methodology/approach A natural experiment contrasting the CSR reporting of private vs public firms is used to test whether the degree of information asymmetry is a significant factor in the decision to publish CSR reports. Using a hand-collected sample of the 239 largest US private companies matched with publicly-traded firms, the effect of these inherently different information environments on CSR reporting is tested through logistic regression. Factors suggested by stakeholder and legitimacy theories are tested for their differential impact on private vs public firms’ decisions to publish a CSR report. Findings Results indicate that private firms are less likely to publish a CSR report than similar public firms. Public firms also follow Global Reporting Initiative guidelines more frequently, consistent with signaling report quality to dispersed investors. A subsample of private companies facing greater information asymmetry is found to be similar to public firms in their reporting behavior, reinforcing the link between information asymmetry and CSR disclosure. Further analysis suggests that non-owner stakeholders play an important role in private companies’ CSR reporting decisions. Practical implications In addition to accounting and governance scholars, the findings should interest private firm managers preparing for an initial public offering (IPO), as the evidence suggests that CSR reporting is used to communicate information to dispersed investors. The insight into reporting motivations should be useful to accountants engaged in CSR consultation and assurance. Social implications With the growing attention paid to the CSR performance of firms, demonstrated by the growth in socially responsible investing, the study provides evidence that effective communication of CSR information to investors may play a key role in CSR-engaged firms’ disclosure strategies. Originality/value To the best of the author’s knowledge, this study is the first to analyze the CSR reporting decisions of a large sample of publicly-traded and privately-held firms. The results add to our understanding of what motivates firms to publish CSR reports, highlighting the importance of information asymmetry between the firm and its owners.

scholarly journals Accruals, cash flows and earnings in european privately held firms

2013 ◽  
pp. 133
Author(s):  
Borja Amor Tapia ◽  
María Teresa Tascón Fernández
Keyword(s):  
Cash Flow ◽  
Cash Flows ◽  
Previous Literature ◽  
Private Firms ◽  
Publicly Traded ◽  
Private Companies ◽  
Public Firms ◽  
Publicly Traded Firms ◽  
Privately Held Firms ◽  
Privately Held

Este trabajo examina las propiedades de los ajustes al devengo, los flujos de caja y los resultados en las empresas europeas no cotizadas. A partir de varias hipótesis sobre la persistencia de losresultados y sus componentes, encontramos que las empresas no cotizadas parecen comportarse de forma diferente a la evidencia encontrada previamente sobre las empresas cotizadas. Lasdiferencias son significativas cuando los ajustes al devengo son extremos, dado que la persistencia del ROA y de los flujos de caja siguen patrones de comportamiento distintos a los encontrados en las empresas estadounidenses cotizadas. Pero contrariamente a nuestrashipótesis, las diferencias en la persistencia no son significativas cuando las empresas no cotizadas publican resultados positivos frente a resultados negativos.<br /><br />This paper examines the properties of accruals, cash flows and earnings in European privately held firms. We start from several hypotheses about the persistence of earnings and its components, finding that private companies seem to behave in a different manner than the publicly traded firms tested in previous literature. As hypothesized, differences are significant when accruals are extreme, though in European private firms, persistence of ROA relative to cash flow follows a different pattern than in US public firms. But contrary to our expectations, differences in persistence are not significant when companies report positive versus negative earnings.

scholarly journals Accruals, cash flows and earnings in european privately held firms

2013 ◽  
pp. 133
Author(s):  
Borja Amor Tapia ◽  
María Teresa Tascón Fernández
Keyword(s):  
Cash Flow ◽  
Cash Flows ◽  
Previous Literature ◽  
Private Firms ◽  
Publicly Traded ◽  
Private Companies ◽  
Public Firms ◽  
Publicly Traded Firms ◽  
Privately Held Firms ◽  
Privately Held

Este trabajo examina las propiedades de los ajustes al devengo, los flujos de caja y los resultados en las empresas europeas no cotizadas. A partir de varias hipótesis sobre la persistencia de losresultados y sus componentes, encontramos que las empresas no cotizadas parecen comportarse de forma diferente a la evidencia encontrada previamente sobre las empresas cotizadas. Lasdiferencias son significativas cuando los ajustes al devengo son extremos, dado que la persistencia del ROA y de los flujos de caja siguen patrones de comportamiento distintos a los encontrados en las empresas estadounidenses cotizadas. Pero contrariamente a nuestrashipótesis, las diferencias en la persistencia no son significativas cuando las empresas no cotizadas publican resultados positivos frente a resultados negativos.<br /><br />This paper examines the properties of accruals, cash flows and earnings in European privately held firms. We start from several hypotheses about the persistence of earnings and its components, finding that private companies seem to behave in a different manner than the publicly traded firms tested in previous literature. As hypothesized, differences are significant when accruals are extreme, though in European private firms, persistence of ROA relative to cash flow follows a different pattern than in US public firms. But contrary to our expectations, differences in persistence are not significant when companies report positive versus negative earnings.

LA ORIENTACIÓN FAMILIAR PARA LA PREVENCIÓN DEL CONSUMO DE DROGAS EN LOS ALUMNOS DEL TERCER AÑO DE BACHILLERATO

2018 ◽  
Vol 3 (5) ◽  
pp. 39
Author(s):  
Yéssica Elizabeth Barreto Macías ◽  
Colón Avellán Velásquez
Keyword(s):  
High School Students ◽  
Drug Use ◽  
Interpersonal Relationships ◽  
Negative Influence ◽  
Point Of View ◽  
Family Counseling ◽  
High Rate ◽  
School Students ◽  
Family Orientation ◽  
The Right

El actual trabajo afronta una de las problemáticas más apremiantes de los actuales momentos como es el alto índice de dispendio de drogas en las Instituciones Educativas, que afectan considerablemente a la sociedad ecuatoriana. Su objetivo es analizar los lineamientos que permitan mejorar la orientación familiar, y desarrollar relaciones interpersonales apropiadas que fomenten la unión familiar, practicar principios, fomentar valores morales, y que los jóvenes aprendan a decir “no” ante una eventual propuesta de consumir compuestos prohibidos, que lo único que se consigue es materializarse en un estado no idóneo ante la comunidad, considerar que las consecuencias para la salud son devastadoras, personas que a temprana edad padecen de enfermedades que en muchas ocasiones son gravísimas, causando malestar no solamente propio sino a la familia. Puedo mencionar como aporte de este artículo; y en base a resultados establecidos que resulta primordial e importante mantener la asistencia de un profesional especializado en psicología, diálogos científicos y motivadores, conjuntamente con atención médica provocarán en la persona afectada la erradicación del consumo de drogas. Constan muchos factores que causan gran influencia negativa en las familias, partiendo de que actualmente el mundo vive la tendencia del consumismo lo que influye en sobremanera que exista menos dialogo en el hogar, la aparición de la tecnología es otra de las situaciones adversas. Los profesionales encargados de brindar orientación familiar deben considerar siempre, que el comportamiento del ser humano debe ser comprendido desde el punto de vista de su forma de pensar, solo así se desarrollara una cultura que permita a las familias tomar las decisiones acertadas al momento de formar a sus hijos, lo que en un futuro se evidenciará como seres útiles a la sociedad. PALABRAS CLAVE: Consumo de drogas; orientación familiar; valores morales.  FAMILY COUNSELING, FOR THE PREVENTION OF DRUG USE IN THIRDYEAR HIGH SCHOOL STUDENTS  ABSTRACT  The current work addresses one of the most pressing issues of current times such as the high rate of drug use in educational institutions, which greatly affect Ecuadorian society. Its objective is to analyze the guidelines for improving family orientation, and develop appropriate interpersonal relationships that promote family unity, value the principles, and that young people learn to say "no" to a possible proposal to use prohibited drugs, that the only thing that is achieved is to materialize in an unsuitable state before the community, to consider that the consequences for health are devastating, people who at an early age suffer from diseases that in many occasions are very serious, causing discomfort not only their own but also the family. I can mention as contribution of this article; and based on established results that it is essential and important to maintain the assistance of a professional specialized in psychology, scientific and motivational dialogues, together with medical care, will cause the affected person to eradicate drug use. There are many factors that cause great negative influence on families, based on the fact that the world currently lives the trend of consumerism which greatly influences that there is less dialogue at home, the emergence of technology is another of the adverse situations. The professionals responsible for providing family counseling should always consider that the behavior of the human being should be understood from the point of view of their way of thinking, only in this way will a culture be developed that allows families to make the right decisions when forming to their children, which in the future will be evident as useful beings to society. KEYWORDS: drug use; family orientation; moral values.

Taxes as a Determinant of Managerial Compensation in Privately Held Insurance Companies

2001 ◽  
Vol 76 (4) ◽  
pp. 655-674 ◽  
Author(s):  
Bin Ke
Keyword(s):  
Control Sample ◽  
Tax Planning ◽  
Managerial Compensation ◽  
Insurance Companies ◽  
Tax Rates ◽  
Investment Income ◽  
Federal Income Tax ◽  
Planning Decision ◽  
Privately Held Firms ◽  
Privately Held

This study empirically investigates how taxes affect managerial compensation for a sample of privately held insurers whose managers own a large percentage of the firm's stock (I refer to these as management-owned insurers) during 1989–1996. Shareholder/managers receive two types of income from the firm they own: compensation income as employees, and investment income as shareholders. Although compensation income is taxable to employees and deductible by employers, investment income is subject to double taxation. Thus, the mix of the two is an important tax-planning decision for management-owned insurers. I predict and find that as individual tax rates increased relative to corporate tax rates from 1989–1992 to 1993–1996, shareholder/managers paid themselves less tax-deductible compensation relative to a control sample of nonmanagement-owned insurers (i.e., privately held insurers with no managerial ownership). The study's results expand our understanding of management-owned, privately held firms' tax-planning strategies, and have implications for the efficiency of the federal income tax system.

Are we Ready for a “Microbiome-Guided Behaviour” Approach?

2019 ◽  
Vol 28 (04) ◽  
pp. 708-724
Author(s):  
ANDREA LAVAZZA ◽  
VITTORIO A. SIRONI
Keyword(s):  
Fecal Microbiota Transplantation ◽  
Negative Attitude ◽  
Well Being ◽  
Fecal Microbiota ◽  
Point Of View ◽  
Brain Functioning ◽  
The Central Nervous System ◽  
The Individual ◽  
The Right ◽  
The Mind

Abstract:The microbiome is proving to be increasingly important for human brain functioning. A series of recent studies have shown that the microbiome influences the central nervous system in various ways, and consequently acts on the psychological well-being of the individual by mediating, among others, the reactions of stress and anxiety. From a specifically neuroethical point of view, according to some scholars, the particular composition of the microbiome—qua microbial community—can have consequences on the traditional idea of human individuality. Another neuroethical aspect concerns the reception of this new knowledge in relation to clinical applications. In fact, attention to the balance of the microbiome—which includes eating behavior, the use of psychobiotics and, in the treatment of certain diseases, the use of fecal microbiota transplantation—may be limited or even prevented by a biased negative attitude. This attitude derives from a prejudice related to everything that has to do with the organic processing of food and, in general, with the human stomach and intestine: the latter have traditionally been regarded as low, dirty, contaminated and opposed to what belongs to the mind and the brain. This biased attitude can lead one to fail to adequately consider the new anthropological conceptions related to the microbiome, resulting in a state of health, both physical and psychological, inferior to what one might have by paying the right attention to the knowledge available today. Shifting from the ubiquitous high-low metaphor (which is synonymous with superior-inferior) to an inside-outside metaphor can thus be a neuroethical strategy to achieve a new and unbiased reception of the discoveries related to the microbiome.

How Antisymmetric Is Syntax?

2003 ◽  
Vol 34 (3) ◽  
pp. 516-526 ◽  
Author(s):  
Yuji Takano
Keyword(s):  
Linear Order ◽  
Phrase Structure ◽  
Negative Polarity ◽  
Point Of View ◽  
The Other ◽  
Negative Polarity Items ◽  
Polarity Items ◽  
The Right

Since the emergence of Kayne's (1994) stimulating proposal for an antisymmetric theory of phrase structure and linear order, much work has been devoted to arguing for or against his theory as well as discussing its empirical predictions. As a result, for a number of phenomena involving rightward positioning, such as rightward adjuncts, heavy NP shift, extraposition, postverbal subjects, and postverbal constituents in OV languages, there now exist both an approach consistent with Kayne's theory (the antisymmetric approach) and another not consistent with it (the symmetric approach). In such a situation, it is often difficult to show on empirical grounds that one approach is superior to the other (see Rochemont and Culicover 1997). In what follows, I describe this situation with respect to two well-known phenomena in English: rightward positioning of adjuncts and heavy NP shift. For each of these phenomena, the symmetric and antisymmetric approaches have been proposed, and both approaches can correctly account for the data discussed in previous studies. Here, I examine the approaches from a novel point of view, showing that data involving the licensing of negative polarity items allow us to differentiate them and to decide which is the right one for each of the two empirical domains. Interestingly, the relevant facts lead to different conclusions for the two phenomena. The results have important implications for the antisymmetric view of syntax.

scholarly journals Events, Time and the Simple Form

2009 ◽  
Vol 17 (1) ◽  
pp. 85-105 ◽  
Author(s):  
Walter H. Hirtle
Keyword(s):  
Simple Form ◽  
Point Of View ◽  
Event Time ◽  
The Difference ◽  
Time Required ◽  
English Verb

Abstract This is an attempt to discern more clearly the underlying or POTENTIAL meaning of the simple form of the English verb, described in Hirtle 1967 as 'perfective'. Vendler's widely accepted classification of events into ACCOMPLISHMENTS, ACHIEVEMENTS, ACTIVITIES, and STATES is examined from the point of view of the time necessarily contained between the beginning and end of any event, i.e. EVENT TIME as represented by the simple form. This examination justifies the well known dynamic/stative dichotomy by showing that event time is evoked in two different ways, that, in fact, the simple form has two ACTUAL significates. Further reflection on the difference between the two types thus expressed—developmental or action-like events and non-developmental or state-like events—leads to the conclusion that the simple form provides a representation of the time required to situate all the impressions involved in the notional or lexical import of the verb.

Knowledge of the Polish language and the right to practice as a medical doctor. Notes on the margin of administrative court decisions

2021 ◽  
Vol 2(24) ◽  
pp. 11-20
Author(s):  
Michał Bartoszewicz
Keyword(s):  
Professional Preparation ◽  
Medical Doctor ◽  
Point Of View ◽  
Linguistic Competence ◽  
Court Decisions ◽  
Pragmatic Approach ◽  
Polish Language ◽  
Administrative Courts ◽  
The Right

The article deals with standards of professional preparation of doctors in the scope of speaking and writing Polish. The thesis of the article is that this requirement is one of the elements of professional preparation which is not limited to knowledge but includes specific skills. Defining the threshold of minimum linguistic competence is a subtle matter. The study draws attention to the necessity of pragmatic approach to these requirements to the extent necessary to practice as a doctor or dentist. From the point of view of the doctor’s rights, a lot depends on the procedure of verifying the command of Polish language. Therefore, attention was paid to the jurisprudence of administrative courts in this area.

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