The case centers on an investment made by AXA Private Equity, a French producer of food ingredients. The investment is made in the height of the financial markets, and funded with substantial debt. Shortly thereafter, the monetary crisis impacted the business's financial performance, the valuation of all companies, as well as the balance sheet of banks.
This set off a number of discussions over the restructuring of the debt on the balance sheet when the business breaks a covenant. The case raises issues over the correct valuation and financing for a company capital markets can influence this, and also the incentives and motivations of each of the stakeholders.
PUBLICATION DATE: September 29, 2011 PRODUCT #: 812042-HCB-ENG
This is just an excerpt. This case is about INNOVATION & ENTREPRENEURSHIP
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