"Clearly written, with extensive but easy-to-follow exhibits to illustrate points in the text. It covers everything from setting criteria and conducting the search for targets or acquirers, through several chapters on valuation, to a chapter on ‘The Art of the Deal’."–Shannon P. Pratt, CFA, FASA, MCBA, Managing Director, Willamette Management Associates
"[An] easy read. Covered like no book before it, simplified by experts!"–Lawrence W. Newman, Senior Vice President and Chief Financial Officer, Underwriters Laboratories Inc.®
"A solid contribution to the valuation profession . . . excellent job of addressing the many unique issues that arise in M&A. . . Two thumbs up!"–Jay B. Abrams, ASA, CPA, Abrams Valuation Group
"Provides an excellent roadmap for the M&A process and focuses on the elements critical to building value in private businesses . . . Don’t enter into a negotiation without reading this!"–Z. Christopher Mercer, ASA, CFA, Chief Executive Officer, Mercer Capital Management, Inc.
"A must read for managers of private companies intent on creating value. Combining academic rigor with real-world experience ...A superb addition to the growing literature on value-based management."–Kenneth M. Lehn, Professor of Business Administration, Katz Graduate School of Business, University of Pittsburgh, Chair of the Samuel A. McCullough Finance Department, Former Chief Economist at the U.S. Securities and Exchange Commission
the book is definitely worth having a look into it, although theory clashes with practice a lot of times!
If you are interested in how the big shot i-banks like JP Morgan or Deutsche Bank are valuating companies or if you are preparing for interviews, I might have some valuable insights for you! just drop me a message to sarah_schuebl@yahoo.de
best regards! Sarah
definitively a bad book I have carried out several valuations in real life and am very familiar with the terminology and methods commonly used to valuate a company. This book unfortunately has not meet my expectations at all. It is very confusing and lacks of clear structure, especially when describing the DCF method, WACC and all other valuation key parameters. Extremely dissapointing.
Valuation Approach Overview This book provides a good overview of how to value a private company in a merger or acquisition. It provides a solid guide on how to do a comprehensive private business valuation but glosses over the details within the various valuation methods.
Practical, accurate, hands-on book I'm working on acquisitions of small to medium sized private companies. I found this book to be very practical in going through not just the valuation math, but also the considerations. The book gives a great overview of the whole process, with ideas of how to get more precise with things like Monte Carlo and Real options. On the core pieces, there is a careful step through of multiperiod DCF including terminal value which is very helpful. Also there is a lot of talk about discount rates which I found very helpful.
The book concludes with a thorough valuation example that is adapted from a real transaction. It provides a great way to pull together all of the knowledge in the book.
I'd also recommend "Analysis for Financial Management" in addition to this book, for its in depth treatment of key financial fundamentals, including DCF valuation.
"How-To" Apply Solid Valuation Theory This book meets important needs of buyers, sellers, valuation analysts, and owners of private companies who want to build value in them. Here are just a few of the important functions that the reader will learn:
1. How to apply solid valuation theory. Provides the best treatment of many valuation issues that I have seen. This set of benefits goes far beyond M&A valuation settings. 2. How to value "synergy," which is often discussed but rarely measured accurately. 3. How to avoid mistakes commonly made by buyers, sellers, and valuation analysts. 4. How to value start-up companies, including high-tech ones. 5. How to create and measure value in private companies.
And...the authors communicate their insights and methods very clearly. Most readers will find this book one of the best investments they have made.
Anything Goes Trivia
Megaton Man
Tailipoe
Trevor
