Try our Advanced Search for more refined results

Expert Analysis

Best Practices For Valuing Preferred Stock

Law360, New York ( November 21, 2013, 8:18 PM EST) -- In a July 2012 decision (In re: Appraisal of the Orchard Enterprises Inc.), the Delaware Chancery Court found that the value of preferred stock should be limited to its "as-converted" value. In that case, the plaintiff argued for an "as-converted basis" while the defendants argued for liquidation preference. The basis for the court's decision rests in the subjectivity of a subsequent transaction that the court found would be necessary in order to trigger the liquidation preference. In this article, we review preferred stock securities, an analysis of how they are used by investors, and alternate methodologies for valuing complex preferred stock securities....

Law360 is on it, so you are, too.

A Law360 subscription puts you at the center of fast-moving legal issues, trends and developments so you can act with speed and confidence. Over 200 articles are published daily across more than 60 topics, industries, practice areas and jurisdictions.


A Law360 subscription includes features such as

  • Daily newsletters
  • Expert analysis
  • Mobile app
  • Advanced search
  • Judge information
  • Real-time alerts
  • 450K+ searchable archived articles

And more!

Experience Law360 today with a free 7-day trial.

Start Free Trial

Already a subscriber? Click here to login

Related Sections

Companies

Government Agencies

Hello! I'm Law360's automated support bot.

How can I help you today?

For example, you can type:
  • I forgot my password
  • I took a free trial but didn't get a verification email
  • How do I sign up for a newsletter?
Ask a question!