Projects & Models
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Success takes many paths, writing exciting stories and molding formative experiences along the way. Capital Currents will retrace the paths of our guests, providing a platform to document their stories and offer guiding advice to our viewers across a spectrum of market segments derived from lived experience.
Season 1 Releasing Summer 2024
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Establishing strong financial literacy coursework, granting students access to high quality financial literacy skills.
Find the Initiative Outline Here
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Descriptions and respective models pertaining to a variety of HBS case studies.
Aurora Textile: Case Summary
CFO of Aurora Textile Company, was questioning whether the company should replace the current spinning machine at the Hunter production facility with a new ring-spinning machine, the Zinser 351. Because of the poor health of both the textile industry and Aurora Textile , the management team had become engaged in a debate as to whether the company should return excess cash to shareholders or invest in the machine. Aurora’s recent financial performance had been lackluster as well.
The case presents enough information for a side-by-side projections of cash-flows for the existing spinning machine , which depreciates in 4 years, and the new Zinser machine which has a 10-year depreciable life. The main driver of the cash flows and the NPV is the improvement in margins due to Aurora’s ability to charge higher prices in a higher-quality market. However, this benefit is offset, to some extent, due various factors.
Qualitative and Quantitive analysis
Mercury Footwear: Case Summary
Active Gear, Inc. (AGI) , a privately held footwear company is trying to acquire Mercury Athletic currently a unit of West Coast fashion. Mercury Athletic is not part of the core business of West Coast fashion and West coast is trying to sell Mercury Athletic as part of its reorganization plan. Active Gear is trying to grow its business and market share. Mercury may be a good asset for AGI to acquire. Before AGI makes the decision to acquire Mercury, it needs to value this asset. AGI has hired you as their advisor/consultant to help them in the valuation and give your recommendation based on your valuation. Therefore, this case is about valuation of a “target” asset with detailed estimation of each component of FCF and Cost of Capital.
Qualitative and Quantitive analysis
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