While it is anticipated that many of the factors determined to be antecedents of the decision to go private
prior to 2008 continued to spur PTP transactions, their effects might be more or less influential post the credit crisis and recession.
In theory, public firms should go private
if the marginal benefits of doing so exceed the marginal cost.
Recently, Mehran and Peristiani (2010) examine the characteristics of firms going private at initial public offering (IPO) and over their public life, and argue that firms with falling institutional ownership and low turnover rate are less likely to benefit from the stock market and are more likely to go private
. We expect that the diminishing benefit of remaining public may likewise influence the decision to go private
The predictions follow comments by Michael Beloff, president of Trinity College, Oxford, who said Oxford University could go private
in the next 15 to 20 years to avoid government interference on admissions.
In order to go private
, Tesla would likely need a considerable source of funding, leading investors to wonder where exactly, or even if, Musk had actually secured it.
Last year an official report found surgery was being deliberately delayed so patients would go private
or die before they reached the top of waiting lists.
Dark companies can still trade in the over-the-counter "Pink Sheets" market, and companies don't necessarily go dark and then go private
. In fact, a 2004 study by Christian Leuz, "Why Do Firms Go Dark?
Dentists say they have been forced to go private
, because the new contracts set payment targets linked to how many patients are treated, which could affect the quality of treatment.
The alternative is to go private
and pay per visit, after an expensive assessment or go with Denplan.
Last month the Chronicle reported how David Surtees and Associates in Whitley Bay rejected the new Government contract to go private
, claiming it would not provide enough cash for quality care.
Two Stockton MPs who attacked a dental practice which has switched to go private
have received stinging criticism.
* More companies will go private
. Even private companies will be hurt by their public company customers' reluctance to engage.