Kohler Co. (A), Chinese Version Case Solution
The large family business which was known for its plumbing fixtures, is known as Kohler Co. As part of a recapitalization directed at preserving family possession of Kohler Co., non family shareholders, who held 4% of common stock, were required to sell their shares to the firm. A group of dissenting stockholders filed a suit claiming that their shares were undervalued by the buyout cost by a factor of five.
This decision calls requires a detailed valuation of the firm at the time of the recapitalization. Provides the needed data for pupils to value the company using both a discounted cash flow approach and a multiples (similar companies) approach. Pupils understand and must identify the various valuation assumptions that can lead to a broad variety in cost, including the applicability of discounts for lack of marketability and lack of control. Displays are obtainable in electronic form to facilitate analysis of the data (HBS course ware 9-205-707).
PUBLICATION DATE: January 12, 2005 PRODUCT #: 214C16-PDF-CHI
This is just an excerpt. This case is about FINANCE & ACCOUNTING