Netscape was initially successful due to its first mover advantage in introducing the first web browser and popularizing the concept of web surfing. Its strategy was to give away the browser for free while monetizing server-side services for companies. While the industry itself was not very risky, larger competitors like Microsoft posed a threat and entry barriers in the browser market were low, making Netscape's position less secure.
Andre Waldron Netscape Ipo Project = Fin 160dre101
The document consists of my 52 page IPO project. This project includes detailed research concerning the Netscape IPO. In addition, the document also includes my own final valuation of the Netscape IPO and the corresponding methods and reasoning that led to my conclusion.
Detailed analysis of implication of merger between Cooper Industries and Nicholson File Company
The DCF valuation excel can viewed at:
https://drive.google.com/file/d/0B6nSS-YiZgneVEpVWVA2QWpyX28/view?usp=sharing
Andre Waldron Netscape Ipo Project = Fin 160dre101
The document consists of my 52 page IPO project. This project includes detailed research concerning the Netscape IPO. In addition, the document also includes my own final valuation of the Netscape IPO and the corresponding methods and reasoning that led to my conclusion.
Detailed analysis of implication of merger between Cooper Industries and Nicholson File Company
The DCF valuation excel can viewed at:
https://drive.google.com/file/d/0B6nSS-YiZgneVEpVWVA2QWpyX28/view?usp=sharing
The opportunity to explore how a company uses the Capital Asset Pricing Model (CAPM) to compute the cost of capital for each of its divisions. The use of Weighted Average Cost of Capital (WACC) formula and the mechanics of applying it are stressed.
Manzana Insurance is the second largest insurance company founded in California in 1902. • They operated through a network of autonomous branch offices in California, Oregon and Washington. Each branch is treated as a separate profit and loss centre. • Manzana does not directly interact with public but instead has its 2000 agents who represents Manzana. • Fruitvale was one of the Manzana’s smaller branches, with 3 underwriting teams and 76 agents. Our case concern is the falling performance and hence the profitability on Property Insurance for this branch.
Case Study Analysis: Cineplex Entertainment: The Loyalty ProgramAkash Patil
65% Market share- Privacy, rental movies, etc.
Developing new markets: Live markets, wrestling matches, hockey games, etc.
Optimum Segmentation
Customer Relationship Management (CRM)
Profitable Segments: Teenagers, young adults, etc.
The New York Times Paywall is a case study based on the business transition from the traditional to digital shift of e-newspapers. The launch of digital devices favoured the growth of The Times as well as the advantages of accessibility had escalated its demands and the viewership. They adopted the Paywall strategy for additional revenue generation through subscription plans. However, the dilemma was for the long term sustenance of the latest The New York Times business model.
The opportunity to explore how a company uses the Capital Asset Pricing Model (CAPM) to compute the cost of capital for each of its divisions. The use of Weighted Average Cost of Capital (WACC) formula and the mechanics of applying it are stressed.
Manzana Insurance is the second largest insurance company founded in California in 1902. • They operated through a network of autonomous branch offices in California, Oregon and Washington. Each branch is treated as a separate profit and loss centre. • Manzana does not directly interact with public but instead has its 2000 agents who represents Manzana. • Fruitvale was one of the Manzana’s smaller branches, with 3 underwriting teams and 76 agents. Our case concern is the falling performance and hence the profitability on Property Insurance for this branch.
Case Study Analysis: Cineplex Entertainment: The Loyalty ProgramAkash Patil
65% Market share- Privacy, rental movies, etc.
Developing new markets: Live markets, wrestling matches, hockey games, etc.
Optimum Segmentation
Customer Relationship Management (CRM)
Profitable Segments: Teenagers, young adults, etc.
The New York Times Paywall is a case study based on the business transition from the traditional to digital shift of e-newspapers. The launch of digital devices favoured the growth of The Times as well as the advantages of accessibility had escalated its demands and the viewership. They adopted the Paywall strategy for additional revenue generation through subscription plans. However, the dilemma was for the long term sustenance of the latest The New York Times business model.
Presentation on Private Equity Valuation of Bkash. This presentation was performed for a National Financial Modeling Competition called " Blueprints," organized by NSU Finance Club
Shoprite's trade, exchange rate and investment relates issues in and around South Africa, submitted in International Business class, Amsterdam Business School, MBA 2013
PALLISER FURNITURE LTD, The China question, Harvard Business Case study, submitted at International Business class in Amsterdam Business School, MBA 2013.
Microsoft HPC - Kivanc Ozuolmez - Public ContentKivanc Ozuolmez
Part of my presentation on Microsoft HPC technology. The content is reduced, and the part which presents the way HPC architecture is implemented on the client is removed due to data confidentiality.
1. Elemental Economics - Introduction to mining.pdfNeal Brewster
After this first you should: Understand the nature of mining; have an awareness of the industry’s boundaries, corporate structure and size; appreciation the complex motivations and objectives of the industries’ various participants; know how mineral reserves are defined and estimated, and how they evolve over time.
when will pi network coin be available on crypto exchange.DOT TECH
There is no set date for when Pi coins will enter the market.
However, the developers are working hard to get them released as soon as possible.
Once they are available, users will be able to exchange other cryptocurrencies for Pi coins on designated exchanges.
But for now the only way to sell your pi coins is through verified pi vendor.
Here is the telegram contact of my personal pi vendor
@Pi_vendor_247
BYD SWOT Analysis and In-Depth Insights 2024.pptxmikemetalprod
Indepth analysis of the BYD 2024
BYD (Build Your Dreams) is a Chinese automaker and battery manufacturer that has snowballed over the past two decades to become a significant player in electric vehicles and global clean energy technology.
This SWOT analysis examines BYD's strengths, weaknesses, opportunities, and threats as it competes in the fast-changing automotive and energy storage industries.
Founded in 1995 and headquartered in Shenzhen, BYD started as a battery company before expanding into automobiles in the early 2000s.
Initially manufacturing gasoline-powered vehicles, BYD focused on plug-in hybrid and fully electric vehicles, leveraging its expertise in battery technology.
Today, BYD is the world’s largest electric vehicle manufacturer, delivering over 1.2 million electric cars globally. The company also produces electric buses, trucks, forklifts, and rail transit.
On the energy side, BYD is a major supplier of rechargeable batteries for cell phones, laptops, electric vehicles, and energy storage systems.
how can I sell pi coins after successfully completing KYCDOT TECH
Pi coins is not launched yet in any exchange 💱 this means it's not swappable, the current pi displaying on coin market cap is the iou version of pi. And you can learn all about that on my previous post.
RIGHT NOW THE ONLY WAY you can sell pi coins is through verified pi merchants. A pi merchant is someone who buys pi coins and resell them to exchanges and crypto whales. Looking forward to hold massive quantities of pi coins before the mainnet launch.
This is because pi network is not doing any pre-sale or ico offerings, the only way to get my coins is from buying from miners. So a merchant facilitates the transactions between the miners and these exchanges holding pi.
I and my friends has sold more than 6000 pi coins successfully with this method. I will be happy to share the contact of my personal pi merchant. The one i trade with, if you have your own merchant you can trade with them. For those who are new.
Message: @Pi_vendor_247 on telegram.
I wouldn't advise you selling all percentage of the pi coins. Leave at least a before so its a win win during open mainnet. Have a nice day pioneers ♥️
#kyc #mainnet #picoins #pi #sellpi #piwallet
#pinetwork
US Economic Outlook - Being Decided - M Capital Group August 2021.pdfpchutichetpong
The U.S. economy is continuing its impressive recovery from the COVID-19 pandemic and not slowing down despite re-occurring bumps. The U.S. savings rate reached its highest ever recorded level at 34% in April 2020 and Americans seem ready to spend. The sectors that had been hurt the most by the pandemic specifically reduced consumer spending, like retail, leisure, hospitality, and travel, are now experiencing massive growth in revenue and job openings.
Could this growth lead to a “Roaring Twenties”? As quickly as the U.S. economy contracted, experiencing a 9.1% drop in economic output relative to the business cycle in Q2 2020, the largest in recorded history, it has rebounded beyond expectations. This surprising growth seems to be fueled by the U.S. government’s aggressive fiscal and monetary policies, and an increase in consumer spending as mobility restrictions are lifted. Unemployment rates between June 2020 and June 2021 decreased by 5.2%, while the demand for labor is increasing, coupled with increasing wages to incentivize Americans to rejoin the labor force. Schools and businesses are expected to fully reopen soon. In parallel, vaccination rates across the country and the world continue to rise, with full vaccination rates of 50% and 14.8% respectively.
However, it is not completely smooth sailing from here. According to M Capital Group, the main risks that threaten the continued growth of the U.S. economy are inflation, unsettled trade relations, and another wave of Covid-19 mutations that could shut down the world again. Have we learned from the past year of COVID-19 and adapted our economy accordingly?
“In order for the U.S. economy to continue growing, whether there is another wave or not, the U.S. needs to focus on diversifying supply chains, supporting business investment, and maintaining consumer spending,” says Grace Feeley, a research analyst at M Capital Group.
While the economic indicators are positive, the risks are coming closer to manifesting and threatening such growth. The new variants spreading throughout the world, Delta, Lambda, and Gamma, are vaccine-resistant and muddy the predictions made about the economy and health of the country. These variants bring back the feeling of uncertainty that has wreaked havoc not only on the stock market but the mindset of people around the world. MCG provides unique insight on how to mitigate these risks to possibly ensure a bright economic future.
The secret way to sell pi coins effortlessly.DOT TECH
Well as we all know pi isn't launched yet. But you can still sell your pi coins effortlessly because some whales in China are interested in holding massive pi coins. And they are willing to pay good money for it. If you are interested in selling I will leave a contact for you. Just telegram this number below. I sold about 3000 pi coins to him and he paid me immediately.
Telegram: @Pi_vendor_247
Falcon stands out as a top-tier P2P Invoice Discounting platform in India, bridging esteemed blue-chip companies and eager investors. Our goal is to transform the investment landscape in India by establishing a comprehensive destination for borrowers and investors with diverse profiles and needs, all while minimizing risk. What sets Falcon apart is the elimination of intermediaries such as commercial banks and depository institutions, allowing investors to enjoy higher yields.
Lecture slide titled Fraud Risk Mitigation, Webinar Lecture Delivered at the Society for West African Internal Audit Practitioners (SWAIAP) on Wednesday, November 8, 2023.
Turin Startup Ecosystem 2024 - Ricerca sulle Startup e il Sistema dell'Innov...Quotidiano Piemontese
Turin Startup Ecosystem 2024
Una ricerca de il Club degli Investitori, in collaborazione con ToTeM Torino Tech Map e con il supporto della ESCP Business School e di Growth Capital
2. Question I
Why has Netscape been successful to date?
What is its strategy?
How risky is its current competitive situation?
3. Answer I
Success reasons;
•First Movers advantage;
• Introduced “click-and-point” browser
• Introduced the concept of “Web Surfing”
•Worked on both sides of the market;
Browser for Clients, E-commerce application and service for companies
•Working in growing industry
Strategy;
•Give away today, make money tomorrow.
•They gave the browser for free, and made money on the server side (by selling to
companies)
•Dominate and set the standards, build ecology
Riskiness;
•Although they were a newcomer, the industry has a Equity Beta of 0.73. So the
industry was not that risky.
•Bigger players like Microsoft, AOL, Prodigy were also interested in the browsers
business and entry barriers were not that high. Therefore, Netscape’s position in the
browsers market was not rock solid.
5. Answer 2
Based on researches on web, and considering industry conditions
around 1995 – 1996, we decided to assume the average growth rate as
19% for Netscape.
7. Answer 2
The share distribution after IPO is given in the case as below.
Share Holder Percentage
Clark 24%
Kleiner Perkins 11%
Media Companies 11%
James Barksdale 10%
Public 44%
Based on the distribution, and our valuation in previous slide, we calculate
the share price as;
$256.81M * 44% / 5M
=>
$22.60 per share for 5M shares
This calculation doesn’t include under pricing discount. In order to attract
investors, a discount should also be applied.
Assuming the under pricing rate at 20%;
the share price should be at $18 per share for 5M shares
8. Question III
How fast does Netscape have to grow on an annual basis
over the next 10 years to justify the $28 offer price?
9. Answer 3
The share distribution after IPO is given in the case as below.
Share Holder Percentage
Clark 24%
Kleiner Perkins 11%
Media Companies 11%
James Barksdale 10%
Public 44%
• 5M public shares, as price of $28 = $140M for 44% of Netscape.
• The total equity value of Netscape is, as estimated by underwrites;
$318.18M
• But, as the underwriters underprice the stock price, the $28 per share
doesn’t lead to a good valuation. We assume underpricing ratio is 20%.
And therefore; the estimated Netscape’s market value by underwriters
should be aprox $397.7M.
Then question is to find the growth rate that sets the NPV of Netscape equal
to $397.7M
10. Answer 3
When we apply the same assumptions, and look for a growth rate that
sets the NPV = $397.7M, the free cash flow of Netscape;
1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005
51,043,973.71 78,358,675.97
Total Revenues 33,250,782.00 41,197,718.90 63,243,483.43 97,086,399.53 120,290,049.02 149,039,370.73 184,659,780.34 228,793,467.84 283,475,106.65
Total Cost of Revenues 4,389,624.00 4,284,562.77 5,308,573.27 6,577,322.28 8,149,302.30 10,096,985.55 12,510,165.10 15,500,094.56 19,204,617.16 23,794,520.66 29,481,411.09
45,735,400.45 70,209,373.67
Gross Profit 28,861,158.00 36,913,156.13 56,666,161.16 86,989,413.98 107,779,883.92 133,539,276.18 165,455,163.18 204,998,947.18 253,993,695.56
18,784,182.33 28,835,992.76
Research & Dvelopment 12,230,304.00 15,160,760.55 23,273,601.90 35,727,795.03 44,266,738.04 54,846,488.43 67,954,799.16 84,195,996.16 104,318,839.25
31,136,823.97 32,127,057.15
Other Operating Expenses 26,933,133.42 29,250,380.42 32,254,176.55 30,096,783.85 25,260,910.29 31,298,267.85 38,778,553.87 48,046,628.25 59,529,772.40
49,921,006.29 60,963,049.91
Total Operating Expenses 39,163,437.42 44,411,140.97 55,527,778.45 65,824,578.88 69,527,648.33 86,144,756.28 106,733,353.04 132,242,624.41 163,848,611.65
Operating Profit/Loss (EBIT) -10,302,279.42 - 7,497,984.84 - 4,185,605.84 1,138,382.70 9,246,323.76 21,164,835.10 38,252,235.59 47,394,519.89 58,721,810.15 72,756,322.77 90,145,083.92
Unlevered net income -10,302,279.42 - 7,497,984.84 - 4,185,605.84 751,332.58 6,102,573.68 13,968,791.16 25,246,475.49 31,280,383.13 38,756,394.70 48,019,173.03 59,495,755.38
Interest Income 991,166.00 991,166.00 991,166.00 991,166.00 991,166.00 991,166.00 991,166.00 991,166.00 991,166.00 991,166.00 991,166.00
Interest Expenses 257,310.00 257,310.00 257,310.00 257,310.00 257,310.00 257,310.00 257,310.00 257,310.00 257,310.00 257,310.00 257,310.00
Interest tax shield - - - 87,485.40 87,485.40 87,485.40 87,485.40 87,485.40 87,485.40 87,485.40 87,485.40
17,423,349.99 17,605,627.32
Capital Expenses 15,228,858.16 16,465,492.31 17,898,538.25 16,150,322.56 12,993,731.09 16,099,232.83 19,946,949.47 24,714,270.40 30,620,981.02
Depreciation 918,000.00 918,000.00 918,000.00 918,000.00 918,000.00 918,000.00 918,000.00 918,000.00 918,000.00 918,000.00 918,000.00
Depreciation tax shield - - - 605,880.00 605,880.00 605,880.00 605,880.00 605,880.00 605,880.00 605,880.00 605,880.00
- 19,957,099.83
Net cash flow -23,879,281.58 -22,311,621.15 -15,407,864.26 - 9,763,712.23 - 442,190.00 13,992,085.79 16,920,491.70 20,548,786.63 25,044,244.03 30,614,115.76
Risk-free rate 6.71% Clark 24%
NPV of cash flows after 2005 $431,792,888.06 Equity Premium 6.00% Kleiner Perkins 11%
NPV of cash flows btwn 1995-2005 -$33,224,566.96 Equity beta 0.73 Media Companies 11%
Total NPV $398,568,321.11 James Barksdale 10%
Tax Rate 34% Public 44%
Cost of Equity=Rf+B(Rm-Rf) 11.09%
Growth rate 23.90%
The growth rate of Netscape should be approx. 23.9% to satisfy $28 per
share for 5M shares at IPO.
11. Question IV
What sources of capital other than the public equity
markets could be tapped to satisfy these capital needs?
12. Answer 4
Netscape already had investors like;
• Jim Clark as Angel Investor
•Adobe, and 5 other media companies as Corporate Investors
•Kleiner Perkins as Venture Capitalist Firm
Before going public, they could have contacted;
•Private Equity Firms
•Institutional Investors
14. Answer 5
Advantages
•Greater liquidity
•Better and cheaper access to capital
•Better diversification for equity investors
•Visibility
•Knowing market price
Disadvantages
•Loss of confidentiality
•Lack of ownership
•Legal liability and reporting obligations
•Profit sharing
16. Answer 6
• Underwriters want to control their risk
• Reward for investors for taking the risk *
• Premium on market uncertainty *
• “Leave a good taste in investors’ mouth”
* James C. Brau and Stanley E. Fawcett, Feb 2006: Initial Public Offerings: An analysis of Theory and Practice