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Valuation Services

414 Capital has performed over 21,000 valuation exercises to date, gaining worldwide recognition as a leading global valuation practice

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  Established in 2009
in New York


Footprint in the US and
the rest of the Americas




+30
Professionals


+100
M&A transactions closed


+USD 12.4 bn
structured and placed


Valuation services and key differentiators



Portfolio Valuation


414 Capital delivers independent valuations for alternative asset managers’ illiquid assets. The Firm covers a wide range of strategies, including private equity, venture capital, debt, infrastructure, energy, real estate, natural resources, and agribusiness

Event-Driven Valuations


The Firm provides valuation solutions for a variety of complex events or situations, ranging from market valuations for financial/tax reporting to expert testimony in contested situations

Fairness and Solvency Opinions


414 Capital’s team delivers timely, independent, and thoroughly supported opinions that withstand external scrutiny to assist boards of directors, board committees, and other related parties with their fiduciary duties when evaluating potential transactions

Customer-centric culture


Fast reaction time and processing speed


True independence-free of conflicts of interest


Deep market experience and technical rigor






Track record and relevant experience





+130
Funds covered
~800
Assets valued
periodically
+12
Years of continuous
engagements
100%
Client retention rate




The Firm began offering portfolio valuation services in 2010 with a unique approach. The differentiated service and value proposition were quickly recognized by the market



Valuation practice geographic footprint



North & Central America
  • United States
  • Belize
  • El Salvador
  • Honduras
  • Mexico
  • Panama

Other regions
  • India
  • Turkey
  • UAE

South America & Caribbean
  • Argentina
  • Barbados
  • Brazil
  • Chile
  • Colombia
  • Ecuador
  • Jamaica
  • Paraguay
  • Peru
  • Uruguay

Alternative investment strategies coverage



  • Private Equity
  • Venture Capital
  • Debt
  • Infrastructure
  • Energy
  • Real Estate
  • Natural Resources
  • Agribusiness
414 Capital assists a wide range of clients, from emerging managers to global firms and their investors

Demand for third-party independent valuations

  • Increased scrutiny from investors, regulators, and auditors alike has led to a demand for greater transparency in the reporting and valuation practices of alternative asset managers
  • Many alternative investment managers value investments internally, a process ripe for conflicts of interest and full of potential biases, resulting in a shift away from these self-assessments in the industry
  • Independent valuation advisors provide accurate and reliable valuations of complex and illiquid investments, eliminating the appearance of bias in the valuation process


Benefits of an independent valuation process

Unbiased and objective analysis
Adherence to industry standards and best practices
Transparecy for investors and shareholders
Objective performance measurement
Application of consistent criteria
Critical review of the information provided



Select sample of funds valued on a recurring basis

Event-Driven Valuations


Valuation solutions for a variety of complex situations



414 Capital has earned clients’ trust by bringing clarity to the most sophisticated valuation matters



The team of professionals at 414 Capital leverage the Firm’s investment banking platform and ensure its valuations are based on real-world market dynamics



Event-driven valuation exercises can be performed on a recurring or a nonrecurring basis, depending on client needs


Events and situations

  • Fair market valuations for financial reporting
  • Restructurings
  • Tax planning and reporting
  • Corporate strategy
  • Business combinations
  • Securitizations
  • Impairment testing
  • Transaction advisory
  • Contested situations / litigation
  • Gift, estate and succession planning
  • Bankruptcies
  • Issuer / investor – paid research
  • Collateral financing
  • Transfer pricing & purchase price allocation

Fairness and Solvency Opinions

Why do clients seek Fairness or Solvency Opinions?

Fairness Opinions (“FO") and Solvency Opinions (“SO") are needed for the following purposes:

  • To provide an objective and independent analysis of certain financial elements in a transaction
  • To help decision-makers demonstrate their application of business judgment and duty of care in evaluating a transaction
  • To assist decision-makers in avoiding potential fraudulent transfers or distributions

FOs and SOs are delivered as part of a transaction process, usually prior to the Board of Directors’ approval of the transaction

When are FOs and SOs required?

Fairness and Solvency Opinions are typically issued to support stakeholders in the following types of transactions:

  • Mergers and acquisitions
  • Cross-fund transactions and transfers
  • Takeover bids
  • Related party transactions and transfers
  • Buyouts of minority equity holders
  • Buy-backs
  • Recapitalizations
  • Tender offers
  • Going-private transactions
  • Bankruptcies, liquidations, or restructurings
  • Employee Stock Ownership Plan (ESOP) transactions
  • Spin-offs, split-offs

True independence and experience are key aspects to consider when selecting a third-party provider. 414 Capital’s extensive experience in the field ensures clients are delivered unbiased opinions that withstand external scrutiny




Valuation guidelines & team certifications



414 Capital methodologies comply with industry standards such as IVS, IPEV, IFRS 13 and ASC 820 (US GAAP)





All members of the team are designated Financial Modeling Valuation Analysts (CFI) and some team members are Accredited Senior Appraisers by the American Society of Appraisers, or hold the CAIA designation