Private Equity Multiples and Prices
The acquisition price of a portfolio company is usually based on a multiple of the company's historical income, most often based on the measure of earnings before interest, taxes, depreciation, and amortization (EBITDA). Private equity multiples are highly dependent on the portfolio company's industry, the size of the company, and the availability of LBO financing.
Read more about this topic: Private Equity Fund
Famous quotes containing the words private, equity, multiples and/or prices:
“Crotchless trouser allows wearer to show private parts in public. Neoprene-coated nylon pack cloth is stain resistant, water repellent and tickles thighs when walking. Tan-olive shade goes with most fetishes. Adjustable straps attach to belt for good fit and easy up-down. Pant is suitable for fast exposures as well as extended engagements. One size fits all.”
—Alfred Gingold, U.S. humorist. Items From Our Catalogue, “Flasher’s Pants,” Avon Books (1982)
“If equity and human natural reason were allowed there would be no law, there would be no lawyers.”
—Christina Stead (1902–1983)
“If twins are believed to be less intelligent as a class than single-born children, it is not surprising that many times they are also seen as ripe for social and academic problems in school. No one knows the extent to which these kind of attitudes affect the behavior of multiples in school, and virtually nothing is known from a research point of view about social behavior of twins over the age of six or seven, because this hasn’t been studied either.”
—Pamela Patrick Novotny (20th century)
“United Fruit... United Thieves Company... it’s a monopoly ... if you won’t take their prices they let your limes rot on the wharf; it’s a monopoly. You boys are working for a bunch of thieves, but I know it ain’t your fault.”
—John Dos Passos (1896–1970)