Valuations (Man Acc 378) Class 2F: Equity Valuation_Example on Free Cash Flow to Equity

During this class we are working through an example of using the Free Cash Flow to Equity method to value the majority interest of a shareholder. The class is then concluded by presenting this value in a valuation report and also applying the net asset value technique to provide a minimum value.

PLEASE NOTE THAT THE COMPANIES’ TAX RATE USED IN THIS CLASS IS 28%. THIS RATE SHOULD BE CHANGED TO 27% FOR YEARS OF ASSESSMENT ENDING ON 31 MARCH 2023 AND LATER (FOR SOUTH AFRICAN COMPANIES).