Mergerstat — Control Premium Study 2024
FactSet Mergerstat, Mergerstat Review (2024 ed.) Data period: Calendar year 2023 Premium definition: Percentage difference between offer price and target’s stock price 1 day, 1 week, and 4 weeks prior to announcement
A control premium represents the extra value a buyer assigns to the ability to appoint management, influence dividend policies, and approve strategic decisions. In valuation, these premiums typically range from above minority share prices, though they vary significantly by industry and deal purpose. mergerstat control premium study 2024
The 2024 FactSet/BVR Control Premium Study, formerly the Mergerstat Review, provides comprehensive, multi-year empirical data on premiums paid for controlling interests in public companies. Released in May 2024, the study offers insights across 50 industries and includes data on strategic versus financial buyers, with specific analysis of SPAC transactions. For full details, visit Business Valuation Resources Business Valuation Resources Control Premium Study Quarterly FactSet Mergerstat, Mergerstat Review (2024 ed
The 2024 edition marks the lowest median premium since 2016 (29.1%). Released in May 2024, the study offers insights
FactSet Mergerstat. (2024). Mergerstat Review – Control Premium Study 2024 . FactSet Research Systems Inc.
A control premium is the difference between the price paid for a controlling interest in a company and the market price of the company's publicly traded shares. It represents the value that a buyer is willing to pay to gain control of a company, often due to the potential for strategic, operational, or financial synergies. Control premiums can vary significantly depending on factors such as industry, company size, growth prospects, and market conditions.
Disclaimer: This article is for educational purposes and does not constitute professional valuation advice. Always consult qualified financial and legal advisors for specific transactions.