Chapter 16: Alternative Financing and Corporate Innovation

In this section

• Venture Capital and Early-Stage Funding: Fueling Startups & Growth
  Learn about structuring VC deals for start-ups, from convertible preferred stock to exit strategies, plus how macro and industry factors affect valuations and funding availability.
• Pre-IPO Equity and Carve-Out Structures
  Explore how late-stage VC financing and carve-outs create alternative pathways to the public markets, including valuation challenges, strategic motivations, and best practices.
• Spin-Off versus Split-Off Transactions
  Learn how spin-offs and split-offs differ structurally, understand their strategic motivations and tax implications, and explore how these corporate actions affect share prices, capital structure, and shareholder value.
• Corporate Venturing and R&D Funding
  Explore how established firms strategically fund innovation through corporate venturing and advanced R&D initiatives, comparing in-house projects with external start-up investments and applying real options valuation.
• Scenario Exercises: Innovation Financing
  Delve into practical multi-stage valuation and scenario-based approaches for innovation financing, from startup ventures to corporate spin-offs and alliances, integrating growth assumptions, risk adjustments, and bridging insights into executive-level presentations.