Company F is in restaurant business which is established in 28 locations in country U, two in country M and ten in country B. It is high-end restaurants which competes with top players in the industry. It was started by two sets of brothers namely Person JC and Person AC and Person JO and Person AO. The company was started as a small one by these brothers in country B which later emerged as a big success and entered into country U. In 2005, Person JO and AO sold their shares to Person JC and AC and the company continued to expand. Later Person JC and AC sold their shares for $426 million to TL partners. TL partners successfully expanded the firm and in 2015 the company went for an IPO, to its outstanding debts, raising $88.2 million at a price of $20 per share which was well above $16-$18 per share. Before the company entered the public, there were other three companies namely company CC, company CB and company BSS. There are some factors for company F which the investors will look for investing. The company had paid its debt through IPO which led the firm with poor cash handling. The company decides to bring a specialized chef from country B for which visa had been suspended and revoked but there are not theoretical measures to gauge the rise and falls in the stock market. To determine: The goals of TL partners when they made IPO for company F.

Question

Want to see the full answer?

Answer 1

Question

Chapter 17, Problem 17.25C

Summary Introduction

Case summary:

Company F is in restaurant business which is established in 28 locations in country U, two in country M and ten in country B. It is high-end restaurants which competes with top players in the industry. It was started by two sets of brothers namely Person JC and Person AC and Person JO and Person AO.

The company was started as a small one by these brothers in country B which later emerged as a big success and entered into country U. In 2005, Person JO and AO sold their shares to Person JC and AC and the company continued to expand. Later Person JC and AC sold their shares for $426 million to TL partners.

TL partners successfully expanded the firm and in 2015 the company went for an IPO, to its outstanding debts, raising $88.2 million at a price of $20 per share which was well above $16-$18 per share. Before the company entered the public, there were other three companies namely company CC, company CB and company BSS.

There are some factors for company F which the investors will look for investing. The company had paid its debt through IPO which led the firm with poor cash handling. The company decides to bring a specialized chef from country B for which visa had been suspended and revoked but there are not theoretical measures to gauge the rise and falls in the stock market.

To determine: The goals of TL partners when they made IPO for company F.

Expert Solution & Answer

Want to see the full answer?

Check out a sample textbook solution

See solution

Students have asked these similar questions

At the end of 2014, a large university hospital in the Netherlands launched a procurement tender exercise for surgical suture material. The rationale for hospital management to initiate this procedure was cost-cutting and standardization. The award criteria were focussed on the most economically advantageous tender. There were different suppliers on the market that were able to produce and deliver high-quality surgical suture material for a lower price than was currently being paid. Consequently, the tender was awarded to a new supplier.The top managers and purchasing manager who initiated the tender trod carefully and implemented this relatively small-scale change initiative according to some basic change management principles (e.g. Kotter, 2012): they built a guiding coalition that incorporated renowned medical specialists, they consulted department heads and they communicated the change to surgeons through different channels. Furthermore, it was recorded in the tender that the new…

Lance Best, the CEO of Barker Sports Apparel, was meeting with Nina Kelk, the company’sgeneral counsel, who also oversaw human resources. It had been a long day at the company’sBirmingham, England, headquarters, and in the early evening the two were going over theevaluations of each of Lance’s direct reports. Lance was struck by what he saw in CFO DamonEwen’s file. Most of the input was neutral, which was to be expected. Though brilliant and wellrespected, Damon wasn’t the warmest of colleagues. But one person had given him the lowestratings possible, and from the written remarks, Lance could tell that it was Ahmed Lund, Barker’shead of sales. One read: “I’ve never worked with a bigger control freak in my life.”“These comments are pretty vicious,” Lance said.“You’re surprised?” Nina asked.“I guess not,” Lance acknowledged.His CFO and his sales chief had been at loggerheads for a while. Ahmed’s 360 also contained afew pointed complaints about his working style1—no doubt from Damon.Lance…

At the end of 2014, a large university hospital in the Netherlands launched a procurement tender exercise for surgical suture material. The rationale for hospital management to initiate this procedure was cost-cutting and standardization. The award criteria were focussed on the most economically advantageous tender. There were different suppliers on the market that were able to produce and deliver high-quality surgical suture material for a lower price than was currently being paid. Consequently, the tender was awarded to a new supplier.The top managers and purchasing manager who initiated the tender trod carefully and implemented this relatively small-scale change initiative according to some basic change management principles (e.g. Kotter, 2012): they built a guiding coalition that incorporated renowned medical specialists, they consulted department heads and they communicated the change to surgeons through different channels. Furthermore, it was recorded in the tender that the new…