Turnaround private equity

• Autor(a) principal: Rybarova, Katerina
• Data de Publicação: 2019
• Tipo de documento: Dissertação
• Idioma: eng
• Título da fonte: Repositório Científico de Acesso Aberto de Portugal (Repositórios Cientìficos)
• Texto Completo: http://hdl.handle.net/10362/70544
• topic: Private equity; Turnaround; Corporate finance; Target; Decision making; Domínio/Área Científica::Ciências Sociais::Economia e Gestão

This paper analyzes the desired parameters of a target of a private equity focused on turnarounds and the decision process behind it. Using four linear regressions for each stage of the decision process – lead, indicative offer, binding offer and win – the characteristics increasing the chance of the target to be acquired by the private equity were determined. This research used data of a company called Mutares AG. In the Lead stage the target was significantly (significance level of below 10%) influenced by profitability, debt levels, type of industry it finds itself in and size of the seller. In the Indicative Offer stage, a significant influence exhibited the turnover, debt levels and size of the seller. In the Binding Offer stage, profitability, type of industry it finds itself in and size of the seller had a significant influence on the dependent variable. In the Win stage, the variables that were found to be significant were size of the seller and size of the target. In the following sections literature review, data description and collection as well as results and their detailed analyses can be found.