Search Results
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Health Development Corp.
Health Development Corp. (HDC) owns and operates health clubs in the Greater Boston area. HDC engaged a local investment banker to explore a sale of the company. The most likely buyer views HDC's prior purchase of real estate as a negative. HDC's management is convinced the purchase enhanced value, ... More
Language: ENGCopyright: 2000 -
Eskimo Pie Corp. (Abridged)
In early 1991, Reynolds Metals, the makers of aluminum products, decided to sell its holding of Eskimo Pie, a marketer of branded frozen novelties. Reynolds had an offer from Nestle to acquire Eskimo Pie. However, Reynolds decided instead to make an initial public offering of Eskimo Pie shares.... More
Language: ENGCopyright: 2001 -
HCA, Inc. (A)
Focuses on the buyout of HCA by three private equity firms: Bain Capital, KKR, and Merrill Lynch Global Private Equity. It provides an opportunity to discuss a variety of issues related to leveraged buyouts including the process, the role of private equity, the incentives of the participants, the be... More
Language: ENGCopyright: 2006 -
Language: ENGCopyright: 2007
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Philip Morris Companies and Kraft, Inc.
Gives students the opportunity to explore the effect of substantial free cash flow on corporate acquisition and operating strategies. Students are also given the opportunity to extract information from the common stock prices of the participating firms. A variety of valuation techniques are employed... More
Language: ENGCopyright: 1989 -
Marriott Corp.: The Cost of Capital (Abridged)
Gives students the opportunity to explore how a company uses the Capital Asset Pricing Model (CAPM) to compute the cost of capital for each of its divisions. The use of Weighted Average Cost of Capital (WACC) formula and the mechanics of applying it are stressed.... More
Language: ENGCopyright: 1989 -
RJR Nabisco
Gives students the opportunity to explore issues facing the board of directors in a leveraged buyout. RJR Nabisco is valued under different operating strategies and the source of gains in leveraged buyouts is stressed.... More
Language: ENGCopyright: 1989 -
Pioneer Petroleum Corp.
Pioneer is an integrated oil company. Its operations include exploration and development, production, transportation, and marketing. The case focuses on Pioneer's cost of capital calculations and its choice between a single company-wide cost of capital or divisional costs of capital. Provides studen... More
Language: ENGCopyright: 1991 -
Note on Capital Cash Flow Valuation
Presents the capital cash flow method for valuing risky cash flows. In this method cash flows are calculated to include the benefits of interest tax shields. In a capital structure, with just ordinary debt and common equity, capital cash flows equal the flows available to equity--net income plus dep... More
Language: ENGCopyright: 1994 -
Introduction to Cash Flow Valuation Methods
Provides an introduction to three cash flow valuation methods. The three methods differ in their measure of cash flows and the discount rate applied to those cash flows. The names for the three methods correspond to the type of cash flow that is used in the valuation: Equity Cash Flow (ECF), Capital... More
Language: ENGCopyright: 1995 -
Marriott Corp.: The Cost of Capital
Presents recommendations for hurdle rates of Marriott's divisions to select by discounting appropriate cash flows by the appropriate hurdle rate for each division.... More
Language: ENGCopyright: 1998 -
Merck & Co.: Evaluating a Drug Licensing Opportunity
This explores the valuation of an opportunity to license a compound before it enters clinical trials. Describes Merck's decision tree evaluation process is presented. Information required to evaluate a specific licensing opportunity is provided, including the costs of the three phases of the review ... More
Language: ENGCopyright: 2000 -
Radio One, Inc.
Radio One (NYSE: ROIA and RIOAK), the largest radio group targeting African-Americans in the country, had the opportunity to acquire 12 urban stations in the top 50 markets from Clear Channel Communications, Inc. (NYSE: CCU) in the winter of 2000. The stations were being sold by Clear Channel Commun... More
Language: ENGCopyright: 2000 -
Dell's Working Capital
Dell Computer Corp. manufactures, sells, and services personal computers. The company markets its computers directly to its customers and builds computers after receiving a customer order. This build-to-order model enables Dell to have much smaller investment in working capital than its competitors.... More
Language: ENGCopyright: 2000 -
Castronics, LLC
Patrick Dickinson (HBS '09) and Michael Weiner (MIT's Sloan '07) acquired Castronics, a firm that specialized in threading pipe used in the oil and natural gas industry, at the end of 2009. The partners overcame significant hurdles during the first two years of ownership, which included the loss of ... More
Language: ENGCopyright: 2012 -
Language: ENGCopyright: 2014
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Language: ENGCopyright: 2014
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Eskimo Pie Corp.
In early 1991, Reynolds Metals, the makers of aluminum products, decided to sell its holding of Eskimo Pie, a marketer of branded frozen novelties. Reynolds had an offer from Nestle to acquire Eskimo Pie. However, Reynolds decided instead to make an initial public offering of Eskimo Pie shares. The ... More
Language: ENGCopyright: 1992 -
Chrysler Takeover Attempt
On April 12, 1995, Kirk Kerkorian made an unsolicited offer to buy the outstanding shares of Chrysler Corp. This case analyzes the proposed deal and addresses the key contextual elements contributing to the takeover attempt.... More
Language: ENGCopyright: 1996 -
HBR Guide to Buying a Small Business (HBR Guide Series)
Are you looking for an alternative to a career path at a big firm? Does founding your own start-up seem too risky? There is a radical third path open to you: You can buy a small business and run it as CEO. Purchasing a small company offers significant financial rewards-as well as personal and profes... More
Language: ENGCopyright: 2017 -
Red Hen Baking Company
In 2007, the Red Hen Baking Company was deciding whether to move from its cramped and inefficient facility to a new facility. It had been in business about 8 years, and 2006 was the first year RHB realized a profit that was over $50,000. The added annual cost of the new location was about $58,000 an... More
Language: ENGCopyright: 2011 -
Cambridge Franchise Partners
Two partners commence a roll-up in the quick service restaurant segment. They focus on operating improvements and spinning-off real estate.... More
Language: ENGCopyright: 2017 -
Adaptive Engineering, LLC
The owner and CEO of Adaptive Engineering was facing an important decision: should he focus on rebuilding its core professional services business which had generated significant revenue and cash flow over the past several years, or should he focus on developing and marketing licensed software which ... More
Language: ENGCopyright: 2011 -
Greg Mazur and the Purchase of Great Eastern Premium Pet Foods
Greg Mazur decided to purchase a small business after graduating from the Harvard Business School. The case explores his decision about whether or not he should finalize his deal to purchase Great Eastern Premium Pet Foods, Inc. ("GEPP"). It gives students the opportunity to consider his search proc... More
Language: ENGCopyright: 2011 -
Nashton Partners and its Search Fund Process
Nashton Partners was a search fund founded by two HBS MBA's that raised $500,000 to finance a search for a company that they could purchase and then run for the next five to ten years. The case examines the search fund structure, the two-year search, and two potential acquisitions.... More
Language: ENGCopyright: 2011