Claim Missing Document
Check
Articles

Found 2 Documents
Search

Fair Valuation of a Renewable Energy Company in Indonesia Fallery Fallery; Kin Tjendrasa
Jurnal Ilmiah Manajemen dan Bisnis Vol 8, No 1 (2022): Jurnal Ilmiah Manajemen dan Bisnis
Publisher : Universitas Mercu Buana

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.22441/jimb.v8i1.14076

Abstract

Not only governments like Indonesia, but also many companies are eager to participate in the renewable energy sector to achieve their carbon neutral target due to the rise of environmental awareness. Mergers and acquisitions of the renewable company are opted by many companies to enter this new market. However, the buyer and the seller often experience disagreeable transaction value of the company, especially the value of the renewable company which does not have a long historical track record since renewable business is relatively new. DCF valuation method is applied to find the fair value of Alpha Co., a renewable energy company that could represent the new upcoming attractive market in Indonesia, renewable energy market. This study revealed that the fair value of Alpha Co. is USD 12.47 million with 10.74% and 10.76% of WACC in 2021 and after 2021 respectively. In addition, the sensitivity analysis proves the hypothesis about the significant influence made by the assumptions on which the most sensitive component could result in a 66.88% deviation from the original calculated firm value in this study.
Ekspansi Perkebunan Pisang Melalui Modal Ventura Serta Meningkatkan Efisiensi Operasi Amir Farid; Kin Tjendrasa
Journal of Economic, Bussines and Accounting (COSTING) Vol 7 No 3 (2024): Journal of Economic, Bussines and Accounting (COSTING)
Publisher : Institut Penelitian Matematika, Komputer, Keperawatan, Pendidikan dan Ekonomi (IPM2KPE)

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.31539/costing.v7i3.9158

Abstract

Indonesia, renowned for its fertile terrain, has great potential for fruit plantation due to its land and market. Bananas, especially the globally favored Cavendish variety, are predominant in both production and consumption. In this dynamic market, PT Sewu Segar Nusantara (Sunpride) stands as the dominant entity, leaving other players, like PT Lampung Banana Agri, with minimal market traction. PT Lampung Banana Agri is one of the players in the industry struggling to compete due to limitation of resources and operational challenges. Over the past five years, the company has encountered negative income, and signaling an urgent need for strategic redirection to maintain operational viability. This research ventures into understanding these challenges, deriving insights from both internal and external vantages. Employing tools like SWOT, VRIO, and financial ratio analysis, the company's intrinsic strengths and weaknesses are spotlighted. At the same time, frameworks like PESTLE and Porter's Five Forces clarify the macroeconomic and market forces at play. Central to this exploration is an analysis of the company's financial statements from 2016-2022, with a caveat: the reliance on public data means certain assumptions might need real-world validation. From these comprehensive analysis, actionable strategies emerge. The TOWS Matrix, an essential analytical tool, bridges internal capabilities with external opportunities, leading to concrete recommendations. A prime proposition is the acceleration of PT Lampung Banana Agri's production and sales, aiming for a swift return to profitability. Capital budgeting methodologies further validate the viability of farm expansion, identifying venture capital as a potential financial ally. It is noteworthy that even with the heftier interest rates inherent to venture capital, the benefits to the company are pronounced. Sensitivity analysis further underscore the pivotal role of product pricing, demonstrating its precedence over interest rate considerations. In essence, this research offers PT Lampung Banana Agri a roadmap, potentially transforming challenges into opportunities within Indonesia's competitive banana market. Keywords: Cavendish, Net Present Value (NPV), Financial Ratios, Capital Budgeting