Techniques for Estimating the Value of Control Using Indirect Method Based on Stock PricesYuriy V Kozyr*
Department of Theoretical Economy and Mathematic Research, Central Economics and Mathematics Institute of Russian Academy of Sciences, Moscow, 117418, Russia
- *Corresponding Author:
- Yuriy V Kozyr
Department of Theoretical Economy and Mathematic Research
Central Economics and Mathematics Institute of Russian Academy of Sciences
Moscow, 117418, Russia
Tel: +7(495) 924-3276
Fax: +7(495) 779-1324
E-mail: [email protected]
Received date: December 23, 2013; Accepted date: March 24, 2014; Published date: March 30, 2014
Citation: Yuriy V. Kozyr (2014) Techniques for Estimating the Value of Control Using Indirect Method Based on Stock Prices. Bus Eco J 5:089. doi: 10.4172/2151-6219.100089
Copyright: © 2014 Kozyr YV. This is an open-access article distributed under the terms of the Creative Commons Attribution License, which permits unrestricted use, distribution, and reproduction in any medium, provided the original author and source are credited.
This article views the value of control rights when calculating the market value of the various stakes of regular shares, i.e., minority, blocking, controlling and super controlling ones. The approach is based on the technique of determining the value of control rights, which is indirectly calculated as the difference between the results of the market equity value estimated with the techniques taking into account control rights and those estimated with the techniques disregarding control rights (estimating equity capital on the minority level). The author proposes mechanisms for calculating premiums on control and discounts for lack of control reflecting various sets of initial data, including the structure of the company’s whole equity capital.