Insights

Examples of Multiple Arbitrage in Private Equity

  • Peter Lynch

Examples of multiple arbitrage in private equity. Multiple arbitrage creates value at exit by selling a company at a higher multiple.

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Private Equity Roll Up

  • Peter Lynch

Private equity roll-up strategy is attractive largely because of the value creation achieved with multiple arbitrage. With a roll up strategy, the sponsor (private equity firm or independent sponsor) sets out to acquire and merge multiple smaller businesses into one larger consolidated company.

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Private Equity Negotiation Games

  • Peter Lynch

The private equity bidding process is filled with posturing and gamesmanship. This post explores examples of negotiation strategies.

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Negotiation Strategy: LVMH Acquisition of Tiffany & Co.

  • Peter Lynch

Long before LVMH publicly announced any designs on acquiring Tiffany & Co., Arnault made the decision to build a Louis Vuitton factory in Texas, likely at least in part to win over the President of the United States in anticipation of smoothing the path for a future acquisition.

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Purchase Price in M&A Transactions

  • Peter Lynch

How to calculate purchase price in an M&A transaction. In this example we start with enterprise value and work towards purchase price.

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