Houlihan Lokey’s Post

Houlihan Lokey is pleased to share its latest Growth Investor Survey. We surveyed 60 of the world’s leading growth investors, with more than $2 trillion of assets under management, for a unique insight into private capital market dynamics and what’s to come. Key themes covered include a slightly more positive outlook on macro, increasing levels of activity in private markets, stabilising valuations, enhanced use of structure and a keen focus on sustainable growth versus "growth at any cost". Thank you to all who participated, and I am already looking forward to seeing how the results evolve in the next iteration! Click here to read the full report: https://lnkd.in/efYdpJnZ Houlihan Lokey #privatecapital #growthequity #structuredcapital

Fellow Investors, We came across a recent study published by Houlihan Lokey concerning the analysis of 30+ going private transactions. This document is highly relevant for anyone working in the industry or with an interest in it, as it provides a detailed overview of relevant metrics and current market dynamics. To access this resource, please do the following: ➡️ Follow our page Private Equity Bro ➡️ Like this post and comment your email 📩 ➡️ [Optional] Tag a friend who could benefit from this 🤝 📊💼 Looking for real-life financial models? Get our premium DCF template here: https://lnkd.in/eibh3yJi ❗ PLEASE READ ❗ We are no longer sending emails for this post, but we have put a link to the materials in the comments section. Feel free to continue to engage with this post so that others like you can benefit from this insightful resource 😉 #InvestmentBanking #PrivateEquity #Investments #Transactions #MergersAndAcquisitions

Rothschild & Co has witnessed significant growth in India and anticipates a notable uptake of activities in the Indian market. Key sectors such as Infrastructure, clean energy, financial services, technology, pharmaceuticals and healthcare are witnessing the most deal activity and generating the most alpha in India. My interaction with Aman Malik on the growth of Rothschild & Co in India and the evolving investment landscape has been published in VCCircle. Explore the full article for more insights: https://shorturl.at/fqsH9

Today Yao Yao, CFA and I had a pleasure to give a guest lecture on valuation of private companies at London Business School on behalf of Houlihan Lokey!

During the 2023 M&A Valuation Master Class, Professor Donna Hitscherich elaborated on the metrics people tend to manipulate the most; exit multiples and cost of capital. 🔗Register: https://hubs.li/Q02lgML40 #corporatedevelopment #mergersacquisitionsdivestitures #mergersandacquisitions #valuation #businessvaluation

Some insightful Q&A from my colleagues at Baker Tilly US, Marc Chase and Frank Walker on current PE dealmaking trends in the US middle market - well worth a read. #privateequity #manda #mergersandacquisitions #pitchbook

M&A deals are complicated and investment banking and legal professionals devote considerable time to preparing for the deal itself. But what about preparing our clients from a psychological perspective? Rajesh Kothari, CFA explores what we can do to help prepare clients for a merger or acquisition in the autumn issue of GGI | Global Alliance's FYI M&A Newsletter.  Check out the article here https://lnkd.in/g2ZMgRAz

A new market trends barometer predicting M&A and PE deal volume points to a double digit rise in both indicators as we make our way through the year. Mitch Berlin, EY strategy and transactions Americas vice chair, shares his 2024 dealmaking outlook. EY just launched its first-ever EY Deal Barometer which uses historical economic and financial market indicators to predict future trends and deal volume outlooks in corporate #mergers and #acquisitions (M&A) and private equity (PE) deals. At the moment, the Deal Barometer is predicting that corporate U.S. M&A deal volume will rise by 12% year-over-year in 2024. U.S. PE deal volume, meanwhile, will rebound 13% in 2024.  Read more >> https://lnkd.in/eb3qSPDU

IPO lead advisors are paid a significant amount of money to value a company and recommend an IPO price to the board of the listing company. The valuation parameters of the IPO Valuation and Pricing Report should typically include important data such as the PE Ratio, Price to Book Value Ratio, and other relevant ratios. Additionally, peer valuation parameters of similar companies in the same industry, country, and Africa should also be disclosed if available. A summary of the parameters above should typically appear in the prospectus with the disclosure that the report was available for inspection. Not so, today. Today, there is little transparency in the valuation reporting process for Lead Advisors in IPOs. No valuation reports are made available for inspection and no data point parameters are disclosed in the prospectus. Instead, advisors use the "average valuation methodology" figure to determine the IPO price and they include a general statement to say: "we did the valuation (which you can't see), we did very many complicated things (which you won't understand) and the average of all of those things approximately equates to the IPO price. This is about as useful as an ashtray on a motorbike. There is no such thing as "the average valuation methodology". I am concerned about the lack of transparency in the valuation methodology presented by lead advisors in recent African IPOs. It seems that they are trying to avoid their responsibility by not presenting the underlying figures from which the valuation was derived. This raises questions about where stock exchange regulators stand on the issue. Obviously, they are not taking any action to address this issue. It seems like a small thing. It's not. Retail investors rely on the reports they receive from their brokers and others, people who are able to understand valuation. I believe that transparency in these matters at IPO is necessary to protect investors. It's a key part of investor relations: it's the core part. How is this relevant to online investor relations and what I do? I have served as a lead advisor for more than 5 IPOs. During this time, I realized that it was crucial to ensure that the IPO structure was a win-win situation for both my client and the public. However, achieving this balance was tricky as it involved competing stakeholder interests. Knowing that my valuation would be under the scrutiny of the general public, everything presented had to be defensible with the result forming the basis around which competing stakeholder interests could be reconciled for a successful outcome. #esg #esgreporting #ipo #sustainability #sustainabilityreporting #investorrelations

We sourced a neat M&A deck created by Houlihan Lokey for the take-private acquisition of a +8.5 billion Chinese online marketplace 👇👇👇 These valuation materials are vital for anyone who wants to learn more about real deals. Here's a glimpse into the document's structure: 🏦 Executive Summary 💹 Public Market Review 📊 Preliminary Financial Analysis 📄 Appendices Get it now to start refining your transactional expertise. Here's what you need to do: ➡️ Follow our page Private Equity Bro ➡️ Like the post and comment your email 📩 ❗ PLEASE READ ❗ We are no longer sending emails for this post, but we have put a link to the materials in the comments section. Feel free to continue to engage with this post so that others like you can benefit from this insightful resource 😉 #InvestmentBanking #MergersandAcquisitions #PrivateEquity