Apex Investment Partners

The major dilemma at hand is avoiding a takeover. The economy was bad at the time, and the company's stock price was thought to be undervalued, as their low P/E ratio of 13.3 indicated. Management needs to find out why their stock price is so undervalued.

1. Given the proposed financing plan, describe your approach (qualitatively) to value AirThread. Should Ms. Zhang use WACC, APV or some combination thereof? Explain. (2 points)

Application development: Having a real-time electronic interface with wholesalers created competitive advantages such as reducing cost.

According to my analysis of the Accessline’s proposed term sheet, I do not believe that Apex would serve its own interests, or those of its investing partners, by investing in Accessline according to the terms proposed. By investing at the proposed valuation, according to the proposed control and incentive structure, Apex would be shouldering a disproportionate share of the risk should Accessline fail to meet its performance targets, or require fresh inflows of capital from future investment rounds. Nor can Accessline take the sort of steps necessary to protect its investment in the case of management failure.

Apex Investment Partners was founded in 1987 by James A. Johnson and the First Analysis Corporation. In its eight-year life, the VC had raised three funds. The two first which are already closed had, together, a committed capital of around $70M. There were mainly concentrated in four areas: • • • • Telecommunication, information technology and software. Environmental and industrial productivity-related technologies. Consumer products and specialty retail. Health-care and related technologies.

Their assets aren’t growing and they have too much debt, but at the same time I recognize the current CEO was promoted to that job and inherited these problems. In the context of trying to work with what he has been given, it seems like they have been aggressive about trying to make the best of it."

As we know, an IPO is the first public offering of a stock, and in this case, (APRN) went public. As we also learned in class, a company will issue stock to raise money. The company, in a sense is giving up part of its ownership in the company in order to raise money. We can also see from this weeks reading about marketing, that a problem exists with (APRN's) customer base. The Customer Relationship Management team may not be performing their job properly, as 60% of their customers are unsubscribing from the service after only six

Evan Greenberg sold 81,032 shares on 09/18/15. The shares were sold at $99.92 per share for a total value of $8,096,717. The second transaction on the same day, he sold 2,620 shares at $101.34 per share. John Lupica, Vice Chairman & Chairman, Insurance - North America, has made six transactions during 6-months period. He sold his shares and also has buy and sell options transaction. On 10/21/15, he sold the total of 19,998 shares at the price approximately $112 or $113. However, he bought 8,017 shares at $56.40 by using option buy and sold 3,439 shares at sell option. By using these option, John has increased his value of $73,938. During the last 6-months period, ACE’s share price has remained stable.

A major investor when referring to ALE is a stapled security-holder that holds a significant amount of securities more than other investors within ALE, and thus has a substantially higher percentage of voting rights.

An initial public offering (IPO) is when a company issues stock for the first time. It’s also known as “going public” and it allows a company to raise money, typically for expansion. Going public is a huge consideration for Fred and Sally and a big step in expanding their business. They need to be sure they want to take on the commitment as it takes time and money to go through the registration process with the Securities and Exchange Commission (SEC). In addition to time and money they will be giving up some of their flexibility in managing the business as they will have shareholders to answer to regarding the businesses’ financial statements, present and future company growth as well as any significant legal issues. This analysis will review the past and present legal issues and the impact they may or may not have on the possibility of the business going public.

Another reason why we decided to incorporate, more specifically as a private corporation, was so we could follow the Accounting Standards for Private Enterprises (ASPE), instead of the public standard, the International Financial Reporting Standards (IFRS). With our initial financial position, it’s best that transparency isn’t required, as that could worry investors. We have a long term plan for our company, so we don’t need investors who only worry about the quarter to quarter earnings. It has been shown by John Asker, a professor at UCLA, that public corporation’s investment decisions are influenced by short-term issues.

After making at high $17.39 early this year, the bank stock has significantly corrected over the last few months. Nevertheless, I believe the pullback has created a opportunity for the investors to buy (or buy more) of this exceptional bank for the following three reasons.

Angel investors are another way to start a business, like banks and venture capitalists. It is their job to invest, they just have different evaluations to make an investment worth their attention. Looking at the Angel Capital Group will expose the evaluations they use, and give ideas weather or not an angel investor is right for the business one seeks to have funded (Angel Capital Group, 2015). Understanding their proximity, value, experience and other factors will help define what the angel investor is all about (Bell, 2007). Putting other factual information together along with what the angel is and what they are looking for will give a picture of what the possibilities are for this type of endeavor.

According to Zangenehpour, (2013). States that the company also has an eye on the future potential money flows, along with out lining two different strategies believed to help the company expand.

‘The theories of why firms go public provide insight into why firms go private because they examine many of the costs and benefits of being a public firm’ (Bharath; p6, 2009).