![]() ![]() The WACC is essentially a blend of the cost of equity and the after-tax cost of debt. The discount rate is calculated using the Weighted Average Cost of Capital (WACC). Beta is used very often for company valuation using the Discounted Cash Flows (DCF) method. The calculation divides the covariance of the stock return with the market return by the variance of the market return. The main common variables that affect beta calculations are the time period, the reference date, the sampling frequency for closing prices and the reference index. Many different betas can be calculated for a given stock. However, unlevered beta could be higher than levered beta when the net debt is negative (meaning that the company has more cash than debt). Unlevered beta is generally lower than the levered beta. Unlevered beta is useful when comparing companies with different capital structures as it focuses on the equity risk. with no debt in the capital structure) to the risk of the market. Unlevered beta (or ungeared beta) compares the risk of an unlevered company (i.e. The intended transaction follows on from a series of recent acquisitions by AkzoNobel across the paints and coatings industry over the last 18 months, which have included Titan Paints in Spain and New Nautical Coatings in the US.Standard beta is co-called levered, which means that it reflects the capital structure of the company (including the financial risk linked to the debt level). It’s therefore expected that joining AkzoNobel’s “Let’s Colour” programme with the expertise of the Pintuco Foundation will provide fresh impetus for further improving the quality of life for people in local communities throughout the region. In addition to creating value from global and regional product and service innovation, the intended acquisition will enable AkzoNobel to better serve customers across more geographies, as well as accessing new markets.īoth companies say they also share a strong belief in the transformative power of colour and a highly committed approach to sustainability. ![]() Likewise, we find great opportunities for the development of our employees and our clients, who will be able to access an enlarged and more complete portfolio.” We strongly believe there are several benefits, such as access to technology and innovation pipelines. We’ll be able to access highly complementary geographical positions in several new countries in the Andean, Central America and Antilles regions, including Colombia, which is the third largest in the region.”Ĭommenting on the deal, CEO of Grupo Orbis, Andres Bernal, said: “This agreement represents an important growth opportunity for Orbis Group’s companies. “It will expand our long-term position across South America by establishing us as a frontrunner in the Andean region and in Central America, where several countries are high on the global growth rankings for the next decade.”ĭaniel Campos, the company’s regional director for South America, said: “It’s an historic opportunity which offers attractive growth potential across both paints and coatings. “This is an excellent intended acquisition which aligns perfectly with our Grow & Deliver strategy of creating leading global positions and driving growth in emerging markets,” said AkzoNobel CEO, Thierry Vanlancker. The transaction includes the Pintuco paints and coatings business, Andercol and Poliquim (resins) and Mundial (distribution and services). ![]() Present in ten countries in South America, Central America and the Antilles, Grupo Orbis has consolidated revenue of around COP $1.2 billion (€260 million). Completion is subject to regulatory approvals and is expected by end of this year, or in early 2022. AkzoNobel is to further expand its long-term position in South and Central America after reaching an agreement to acquire Colombia-based paints and coatings company Grupo Orbis. ![]()
0 Comments
Leave a Reply. |
AuthorWrite something about yourself. No need to be fancy, just an overview. ArchivesCategories |