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Does the database include all transactions (stock, option, cps) within two years of the IPO date, or is there a filter Valuation Advisors applies to the data to eliminate some transactions?

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Does the database include all transactions (stock, option, cps) within two years of the IPO date, or is there a filter Valuation Advisors applies to the data to eliminate some transactions?

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We don’t include all transactions within two years. Let me give you some examples. First, where there were multiple transactions in one of our 3 month time periods, or beyond one year, we used the highest priced transaction (i.e. the lowest discount transaction) to be conservative in our discount numbers. For example, if the IPO price was $15, and two transactions occurred within 3 months of the IPO at $11 and $13, we only used the transaction at $13. Second, we would include transactions within the same time period if they were CPS, but not options and stock. Thus, if you had all three transactions in the same time period, we would include the CPS transaction and the higher of the option or stock transaction. Third, we never include transactions that are for companies that are partnerships, REITs ADR’s etc.

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