 The impact of ownership structure on the market value of companies in response to COVID-19Michal Drábek and Daniel Pastorek No 2023-87, MENDELU Working Papers in Business and Economics from Mendel University in Brno, Faculty of Business and Economics Abstract: The paper focuses on differences in the valuations of privately held companies and publicly traded companies in the EU market as a result of the first year of the COVID-19 pandemic. This exercise is carried out by employing a unique dataset of individually assessed valuations of companies from the brewing industry for 2019 and 2020. The results confirm the existence of a discount in the valuation of private companies and indicate that it increased during the pandemic. The paper also identifies a significant difference between the median multiple and the market capitalization of the whole of the industry sector. This provides more detailed data on the differences with respect to ownership structure, but also information that allows the practical use of multiples in the valuation of privately held companies. Keywords: private company valuation; private vs. public; COVID-19; brewery; private company discount; industry multiples (search for similar items in EconPapers) Downloads: (external link) Related works: Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text Persistent link: https://EconPapers.repec.org/RePEc:men:wpaper:87_2023 Access Statistics for this paper More papers in MENDELU Working Papers in Business and Economics from Mendel University in Brno, Faculty of Business and Economics Contact information at EDIRC. |
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