Publications

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October 2013 (Revised September 2014)
Case

The TELUS Share Conversion Proposal

By: Lucy White, Benjamin C. Esty and Lisa Mazzanti

On February 21, 2013, TELUS announced a proposal to convert the firm's non-voting shares into voting shares on a one-to-one basis, thereby eliminating the firm's dual class structure. Shareholders were scheduled to vote on the proposal at the firm's annual general... View Details

August 2018 (Revised June 2019)
Case

Oaktree: Pierre Foods Investment

By: Victoria Ivashina and Mike Harmon

This case is a setting to discuss “loan to own” investment strategy that is often pursued by distressed investors. The aftermath of the 2007 financial crisis left many companies with poor liquidity and limited ability to obtain credit. One of these companies was Pierre... View Details

Keywords: Distress Investing; Investment; Debt Securities; Strategy; Restructuring

April 1994 (Revised September 1994)
Case

KENETECH Corporation

By: William E. Fruhan Jr.

Involves a strategic decision about how fast to ramp up sales. Improvements in technology have driven down the cost of electric power generated from wind turbines to the point where they are competitive with fossil-fuel plants. KENETECH needs to raise equity capital to... View Details

Keywords: Renewable Energy; Borrowing and Debt; Equity; Initial Public Offering; Growth and Development Strategy; Market Entry and Exit; Going Public; Sales; Competition; Energy Industry

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01 Feb 2017
News

The Morning Risk Report: Corporate Cash Distribution Isn’t Short-Termism Culprit

February 2009 (Revised March 2013)
Case

Messer Griesheim (A)

By: Josh Lerner, Ann-Kristin Achleitner, Eva Lutz and Kerry Herman

In 2001, Allianz Capital Partners and Goldman Sachs acquired a majority stake in Messer Griesheim, a European industrial gas concern held by Hoechst. The dealmakers faced several challenges, including delicate corporate governance issues due to partial family ownership... View Details

Keywords: Mergers and Acquisitions; Restructuring; Venture Capital; Private Equity; Corporate Governance; Family Ownership; Chemical Industry; Industrial Products Industry; Europe

25 Apr 2011
News

Learn the tactics needed to break into emerging markets

A New Way to Understand Corporate Leverage

The link between measures of risk and return within the equity market has been very weak over the past 47 years: in the United States, returns on high-risk stocks have cumulatively fallen short of the returns on low-risk stocks, during a period when the equity market... View Details

May 2013 (Revised June 2014)
Case

Getit

By: Ramana Nanda and Rachna Tahilyani

Sidharth Gupta, CEO of Getit Infomediary Ltd, had just received a term sheet from Helion Venture Partners (Helion), one of India's independent venture capital firms, offering to invest Rs 200 million in return for an equity stake in the company. His dream of... View Details

Keywords: Publishing; Media And Publishing; Entrepreneurial Finance; Venture Capital; Media; Entrepreneurship; India

June 2006 (Revised April 2007)
Case

BioScale

By: H. Kent Bowen and Bradley R. Staats

In 2004, Mark Lundstrom must decide on a funding method and strategic approach for BioScale, a biotechnology company that he founded. BioScale has developed a microchip-based bioanalytical platform that can be used to detect very small concentrations of cells, viruses,... View Details

Keywords: Entrepreneurship; Science-Based Business; Capital; Financing and Loans; Partners and Partnerships; Biotechnology Industry

12 Oct 2022
Video

Christine Marie Ortiz Guzman on how we are all “designers”

November 2017 (Revised April 2019)
Case

Summa Equity: Building Purpose-Driven Organizations

By: George Serafeim

In 2015, Reynir Indahl left top Nordic private equity firm Altor Equity Partners to found Summa Equity (Summa). After long contemplation following the financial crisis, Indahl was convinced the financial system was producing negative externalities and that the current... View Details

Reza Satchu is a Senior Lecturer in the Entrepreneurship Management Unit at the Harvard Business School where he teaches The Entrepreneurial Manager, The Founder Mindset and Founder Launch. He is also the Founder, Managing Partner and majority shareholder of... View Details

Article

Best Practices in Estimating the Cost of Capital: Survey and Synthesis

By: Robert Bruner, Kenneth M. Eades, Robert S. Harris and Robert F. Higgins

This paper presents the results of a cost-of-capital survey of 27 highly regarded corporations, ten leading financial advisers, and seven best selling textbooks and trade books. The results show close alignment among all these groups on the use of common theoretical... View Details

Keywords: Cost of Capital

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December 2010
Compilation

VCPE Strategy Vignettes I

By: Josh Lerner, G. Felda Hardymon, Matthew Rhodes-Kropf, Ann Leamon and Lisa Strope

These three vignettes present various issues around the strategy and management of venture capital and private equity firms. In one, the general partners must decide whether to invest in an intriguing opportunity that lies outside the firm's carefully developed... View Details

Keywords: Venture Capital; Private Equity; Financial Strategy; Projects; Decision Choices and Conditions; Partners and Partnerships; Opportunities; Investment Portfolio; Business or Company Management; China

Archie Jones is a Senior Lecturer in the Entrepreneurial Management Unit at the Harvard Business School, where he currently teaches Venture Capital and Private Equity, Field... View Details

01 Sep 2015
News

China Syndrome

May 1995 (Revised October 1995)
Background Note

Introduction to Cash Flow Valuation Methods

By: Richard S. Ruback

Provides an introduction to three cash flow valuation methods. The three methods differ in their measure of cash flows and the discount rate applied to those cash flows. The names for the three methods correspond to the type of cash flow that is used in the valuation:... View Details

Keywords: Cash Flow; Valuation

September 2018 (Revised January 2019)
Teaching Note

Gemini Investors

By: Richard S. Ruback, Royce Yudkoff and Ahron Rosenfeld

Teaching Note for HBS No. 211-066. Gemini Investors was a private equity firm that targeted equity investments of between $4 million to $6 million per firm. In the period from 2000 to 2015, Gemini had successfully deployed four funds, all licensed as Small Business... View Details

Keywords: Small ＆ Medium-sized Enterprises; Small Business; Private Equity; Investment Funds; Decision Making; Financial Services Industry; United States

February 2000 (Revised April 2005)
Case

Gray Security: Building a South African Services Firm

Describes Gray Security Services, an entrepreneurial South African firm that has recently gone through a financial restructuring with the help of Brait Capital Partners, a private equity firm. Gray provides complete security services to companies in South Africa, other... View Details

Keywords: Initial Public Offering; Entrepreneurship; Equity; Growth and Development Strategy; Service Industry; South Africa