February, 2020

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McKinsey’s Private Markets Annual Review

Mckinsey and Company

Updated annually, our Private Markets Review offers the best of our research and insight into private equity, private real estate, and other private markets. Explore the findings from our most recent report and scroll for past years’ reports.

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Reasons Why You Need a Business Valuation

Biz Worth

Learn why you may need a certified business valuation and how BizWorth can help. This video covers some of the many reasons why business valuations are necessary. From starting your business to growing, litigating, retiring and selling – there is only one constant – your business is always changing. Whether your business is drafting a buy-sell agreement, seeking an SBA loan, resolving a partner dispute, exploring an acquisition or divestiture, or contemplating gifting shares, BizWorth can provid

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Selling Your Business? Are Your Earnings “Quality Earnings”?

RC & Co.

By C. Brett Cooper, CPA•ABV, ASA•BV/IA, BVAL, CRFAC. We hear there’s a common saying in courtroom proceedings that a lawyer should never ask a witness a question unless they already know the answer. We suggest that the same basic concept applies to your business when you place it on the market for sale. The following diagram depicts the typical timeline and process for the sale of a business.

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Lower for longer

Simply Treasury

Persistent negative interest rates (in EUR) force asset managers to reinvent their business model to focus on a "more dynamic" cash management model to avoid value destruction that a (too) prudent short-term placement would imply. Taking an assured dry loss or preferring an investment with relative positive returns and limited volatility is a real strategic choice to consider.

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How to Leverage Intent Data for Better Outcomes

Speaker: Susan Spencer, Principal of Spencer Communications

Intent signal data can go a long way toward shortening sales cycles and closing more deals. The challenge is deciding which is the best type of intent data to help your company meet its sales and marketing goals. In this webinar, Susan Spencer, fractional CMO and principal of Spencer Communications, will unpack the differences between contact-level and company-level intent signals.

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ICYMI: HR Considerations for M&A

Quantive

Couldn’t attend our Exit Planning Institute Chapter meeting this month? No problem! We’ve got you covered. Check out our recap below: Getting the deal done is one thing, but the hard work truly begins when you are tasked with integrating two companies. It’s no surprise that people issues are at the heart of the matter especially in today’s knowledge economy. […].

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Lexology: Drag-Along Rights May Put Shareholders’ Appraisal Rights At Risk

Appraisal Rights

Kramer Levin Naftalis & Frankel LLP posted on Lexology [$$$] about the availability of so-called drag-along rights in private equity deals, which would require minority shareholders to waive rights to appraisal or otherwise challenge controlling shareholder transactions. According to the post, these drag-along rights have become standard fare in stockholder or similar agreements for controlling shareholders seeking to avoid post-completion challenges in connection with a merger.

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Will black swans cross green swans?

Simply Treasury

We have known for a few years the famous black swans that Nassim Nicholas Taleb developed. Swan lakes. black swans, a sign of an exceptional and unpredictable catastrophe. We had also talked more recently, and I am one of them, about “grey swans”, a kind of intermediary between the norm and the exceptional. But now we're talking about " green swans ," a kind of "climate black swan.

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Webinar Will Recap 2019 Appraisal Developments

Appraisal Rights

On February 20 th , a panel of Delaware lawyers from some of the state’s most significant firms will provide a webinar discussing updates to Delaware mergers & acquisitions law. Focusing on how recent decisions will impact the drafting and negotiation of deal documents, the webinar will discuss appraisal action, fiduciary duty actions and other topics relevant to anyone interested in shareholder rights.

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Guest Post: The Cyprus Legal Framework for the Protection of Minority Shareholders in Cross-Border Mergers, Including Certain Appraisal Rights

Appraisal Rights

A chapter published in a new edited book on cross-border mergers reviews the implementation of the Cross-border Mergers Directive [1] (hereinafter, “CBMD”) in Cyprus law. The CBMD was implemented in Cyprus by Law 186(I)/2007. [2] This Law amended the Cyprus Companies Law (Chapter 113) and added a new section to it (Arts. 201I–201X). The Cyprus legislature did not adopt autonomous provisions for the decision-making process, creditor protection and protection of minority shareholders in cross-bor

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Commentary on Panera Decision

Appraisal Rights

Panera , the most recent Delaware appraisal case involving a public company, was decided by the Chancery court last week. A major takeaway from the case: prepayment does not allow for a refund. Commentary has been coming in, including these highlights: • Law360 : Panera case “nods” to deal price. {$$$}. • Law firm : Panera reaffirms existing guidance; tells Boards of Directors they need a strong record of attention to performance and market over time. • World of Securities Regulation : Lack of c

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Statement of Cash Flows vs. Cash Flow Statement

Speaker: Wayne Spivak - President and Chief Financial Officer of SBA * Consulting LTD, Industry Writer, and Public Speaker

The old adages that "cash is king" and "you can’t spend profits" still hold true today. But however well-known these sayings might be, it requires a change in mindset to properly implement a cash flow management system that predicts your business's runaway as accurately as possible. Key to this new mindset is understanding the difference between the Statement of Cash Flows, a historical look at the source and uses of cash, and the Cash Flow Statement, which uses transaction history and forward-l

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Deallawyers.com: Panera Case Holds No Refunds in Appraisal

Appraisal Rights

Last week, the Delaware Chancery Court decided the Panera case.* While awarding deal price, the Court also decided a question involving prepayment – and whether there can be refunds – for the first time. The Court decided that, based on the statutory text, refunds of prepayment are not allowed. In other words: when a company prepays a portion of, or all of, the merger consideration, those funds are not subject to clawback no matter what the Court were to rule on fair value.

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Guest Post: Minority Shareholders’ Rights in Turkish Non-Public Joint Stock Companies

Appraisal Rights

Turkish Commercial Code No. 6102 grants a number of specific rights to minority shareholders representing at least 10% of share capital in a non-public joint stock company, with the aim of protecting them against majority shareholders or company management. These rights, which might affect significant functions, can be briefly explained as follows: Minority shareholders may request the board of directors invite a general assembly meeting or request inclusion of an additional agenda item for the

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SourceHOV: Chancery Court Departs From Merger Price Awarding 12% Premium

Appraisal Rights

In a recent appraisal decision, Delaware Vice Chancellor Slights III awarded investors a 12% premium above deal price, fully adopting the discounted cash flow analysis Petitioners tendered, except for one minor adjustment. The case involved a three-way business combination of a privately held target turned public without minority shareholder approval.