ISCV seeks volunteers for investment properties project
Following its recent decision to develop a new standard and technical guidance on Investment Property, the Standards Board of the International Valuation Standards Council (IVSC) has now prepared a project brief to examine certain aspects of the issue, such as the use of different valuation methods, valuation inputs, derivation of discount rates, treatment of purchaser’s costs, determining [...]
Look for more international cost of capital data in early 2012…
BVR has been working with top providers to develop a robust cost of capital model appraisers and investors can use when valuing international assets. Our hope is to release a major product in this area in March 2012. We have also licensed industry risk reports by country from London-based Business Monitor International, and will [...]
Valuation Advisors adds foreign transactions
Exciting news from the Valuation Advisors Lack of Marketability Discount Study: We’ve just added 1,150 new deals to the database, including—for the first time—757 international transactions from 26 countries, with a median revenue of $44 million. China tops the list of new foreign transactions, followed by Israel, the United Kingdom and Canada. This most-trusted DLOM database now [...]
New paper says European ERPs approach 4% to 7%
Authors from the Technical Univ. of Munich have just posted their new whitepaper, “The Equity Risk Premium across European Markets: An Analysis Using the Implied Cost of Capital,” at SSRN. “Using a large data set of companies from 16 European countries over the period between January 1994 and May 2011,” the authors’ summary says, “we [...]
Best resources for calculating country-specific COC, brought to you by the globally minded ASA
The ASA’s 30th Annual Advanced Business Valuation conference in Chicago this week reflected the country’s broader concern with international markets, starting with the first general session: “International Cost of Capital—A Walk Around the Globe,” by Nancy Czaplinski (American Appraisal). Via a case study, Czaplinski applied six different cost of capital (COC) models to use in today’s [...]
A first for BV in Africa
NACVA, under the auspices of its international arm the International Association of Consultants, Valuators and Analysts (IACVA) will be administering a CVA test in Accra, Ghana in November. BVWire believes this is the first time a business valuation certification exam has been administered in Africa. Ghana is a natural location because of it’s [...]
Is manufacturing now returning to North America? We hope Pippa Malmgren is right.
“Manufacturing is starting to move back to the west,” states Pippa Malmgren of the Canonbury Group with great confidence. Speaking to the CFA Institute a few weeks ago from the beautiful Usher Hall in Edinburgh, Scotland, she commented that you’re seeing events like the Chinese taking a position in Volvo. Or you’re seeing international investment [...]
Consult Damodaran when building WACCs for international companies
Jesse Mucciarone (Cliffs Natural Resources) recently posted a question in LinkedIn’s Valuation group that received some useful responses: “In building a WACC for an international company, what would be the correct inputs? The subject Company is based in Europe, the deal will be financed in U.S. dollars.” Anton Lezhja (Deloitte Albania) responded: “As an appraiser [...]
Duff & Phelps’ Grabowski and Harrington quoted on financial impact of the turmoil in Cairo
Roger Grabowski and Jim Harrington were featured this morning by CFO.com, as lead analysts on the loss of value in Egypt as the country faces new political change. Roger points out how exposed investment capital is, in particular, in the CFO.com analysis: “Buying a company, expanding a plant, adding new product lines — capital expenditures [...]
IVSC reviews discounted cash flow valuation method
The International Valuation Standards Council (IVSC) just issued Technical Information Paper on the Discounted Cash Flow Method for Real Property and Business Valuations. This exposure draft appeals for public comment on debates such as: The DCF method should not be judged on the basis of whether or not the explicit cash flow assumptions are ultimately [...]
Share your thoughts...