Restructuring for Growth : Alternative Financial Strategies to Increase Shareholder Value [Hardcover]

John C. Michaelson (Author)

Book Description

ISBN-10: 0071402292 | ISBN-13: 978-0071402293 | Publication Date: December 17, 2002 | Edition: 1

In today's turbulent market, managers are under relentless pressure to increase shareholder value. Restructuring for Growth takes an in-depth look at IPOs, carve-outs, spin-offs, and other increasingly common value-enhancement techniques.

With emphasis on the special requirements of growth companies, this uncompromising book provides case studies and analyses of actual restructuring events­­what worked, what didn't, and why­­and discusses techniques for delivering increased value after the transaction.

Editorial Reviews

From the Back Cover

Today's Most Popular, Powerful Tools for Creating Shareholder Value--How and Why They Work, and Which Will Work Best for You

The business world is just now beginning to regroup from its greatest merger wave in history. But after more than half of all acquisitions failed to enhance shareholder value, the "bigger is better" mantra has given way to new, leaner value-creation strategies--and to the increased use of subsidiary equity redeployments (SERs) to redeploy and gain access to value hidden in subsidiary operations.

Restructuring for Growth is the first comprehensive guide to creating value by redeploying the equity value of subsidiary operations and assets. It provides new insights on how virtually any organization can successfully leverage this equity in order to:

• Create value for impatient shareholders
• Increase focus
• Use partnerships and alliances
• Restructure balance sheets
• Obtain cash from--and ensure the success of--non-core operations

In the broad middle ground between complete ownership and total divestiture, SERs provide unmatched opportunities for both increasing corporate effectiveness and building shareholder value. Let Restructuring for Growth help you determine if, when, and why an SER may be effective for your organization, and provide you with innovative opportunities to build shareholder value and thrive in today's challenging business arena.

"Building the value of a subsidiary--and the parent--is a pressing concern for much of corporate America. Restructuring for Growth addresses the creation of shareholder value by companies through the redeployment of the equity of a wholly or partially owned subsidiary operation..."--From the Preface

Today's corporate world has been turned upside down. Many of the strategies employed in the past to create value for shareholders have had the opposite effect and are being unwound. As a result, impatient investors are demanding that companies employ new approaches to maximize all of their assets--and create value for investors.

Restructuring for Growth is the first book to take a detailed look at subsidiary equity redeployments (SERs), which have proven remarkably successful at creating new value for both parent companies and their shareholders. This one-of-a-kind resource offers practical advice on creating value in today's turbulent private and public stock and merger markets. It details the goals, objectives, advantages, and challenges and lays out critical tax, legal, and accounting considerations of today's most widely-used and effective subsidiary equity redeployment (SER) strategies, including:

• Spin-offs
• Carve-outs
• Partnerships with investors
• Corporate alliances
• Mergers

Incorporating need-to-know insights, this important work also contains numerous examples and cases for each strategy. It provides a behind-the-scenes look at how the strategies were structured and deployed, and a rare insider's access to the SER successes and failures of leading companies ranging from General Motors to Palm. Many of these cases are available from no other resource, and feature commentary from company executives on the firing line about the strategies they selected.

In Restructuring for Growth, Wall Street veteran John Michaelson provides unique and rarely shared insights into the inner workings of corporate finance and details the challenges of working with Wall Street. He gives you the information and confidence you need to select, deploy, and manage smart SER strategies--to meet the value creation demands of impatient investors, corporate management, and boards of directors.

About the Author

John C. Michaelson is president of Needham Asset Management, which manages more than $1.2 billion in private venture and hedge fund partnerships and public mutual funds. Prior to that, Michaelson ran corporate finance at Needham & Company, a leading mid-sized investment banking firm, where he was involved in hundreds of complex advisory assignments and public offerings. Michaelson cofounded the restructuring group at First Boston, where he worked on numerous large restructurings in the 1980s, and has been quoted and featured in The Wall Street Journal, The New York Times, and other prominent publications. He is a graduate of both Oxford University and Harvard Business School.

Product Details

• Hardcover: 490 pages
• Publisher: McGraw-Hill; 1 edition (December 17, 2002)
• Language: English
• ISBN-10: 0071402292
• ISBN-13: 978-0071402293
• Product Dimensions: 9.2 x 6.4 x 1.8 inches
• Shipping Weight: 2 pounds
• Average Customer Review: 5.0 out of 5 stars  See all reviews (1 customer review)
• Amazon Best Sellers Rank: #2,697,613 in Books (See Top 100 in Books)

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Customer Reviews

Most Helpful Customer Reviews

3 of 3 people found the following review helpful:

5.0 out of 5 stars A must for CEO's, CFO's, and those who want to be., January 26, 2003

By A Customer

This review is from: Restructuring for Growth : Alternative Financial Strategies to Increase Shareholder Value (Hardcover)

Growing businesses must evolve to remain competitive in a changing world. Emphasis on acquisitions and getting bigger is being replaced by focus on core competence. Divesting, selling or spinning off, businesses that are a drag or can't contribute to growth or profits, has become essential to enhancing shareholder value, saving jobs, and strengthening the enterprise. Description, analysis, case studies, and examples give a clear picture of this essential element to business strategy in the 21st Century. Restructuring for Growth is must reading for Chief Executives, CEOs, Chief Financial Officers, CFOs, and those who want to be.