Based on its broad experience in advisory for private equity funds, Wagram Corporate Finance has developed through an exclusive partnership with Finoptech, a specialist in equity derivative pricing model for banks’ equity derivative desks, a proprietary model to price warrants and options used in private equity transactions.
equitymetrix® is significantly different from usually used methodologies because it refers to a unique concept of modeling close to listed options valuation and specifically adapted to a private environment:
- use of a quantitative approach to estimate the volatility of the private asset
- exit calendar modeling combining IRR / multiples expectations
- modeling of the conditions attached to the exercise of the warrant
- simulation of the dilution effects resulting from the exercise of the option
The equitymetrix® model especially adapted to the private equity environment, is also used for the valuation of optional products in institutional investors’ portfolios. It represents an actual step forward for complex financial instruments valuation:
- management’s investment plan
- investors’ investment plan / carried out
- Derivative products portfolios (ratchet, mezzanine,…)
equitymetrix®, is a strengthened pledge of reliability and security for both options beneficiaries and investors.
