Control premium: Difference between revisions

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imported>Doug Williamson
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imported>Doug Williamson
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* [[Equity]]
* [[Equity]]
* [[Forward premium]]
* [[Forward premium]]
* [[Liquidity premium]]
* [[Premium]]
* [[Premium]]
* [[Private company]]
* [[Private company]]
* [[Valuation]]
* [[Value]]
* [[Value]]
[[Category:The_business_context]]
[[Category:Corporate_finance]]
[[Category:Investment]]

Latest revision as of 20:24, 31 July 2021

Equity valuation

When valuing a business, the value of control is often a key factor in determining value.

For example in acquisitions, acquirers often pay a premium for control that can be substantial.

On the other hand in private companies, there is often a discount attached to buying minority stakes in companies because of the absence of control.


See also