DCF method of share valuation

Page no : 3

Ankit Tulsyan (Chartered Accountant) (33 Points)
Replied 10 September 2011

Hello Everybody!

If a company gets registered in Dec,'10. And the foreign investor is the first director and among the initial subscriber to the MOA but he sends the share money in March' 11 ( @ face value in foreign convertable currency).

Will the shares be valued at the face value or valuation need to be done by DCF Method?

Please guide in the above matter......Thanks!

rohan (artical) (22 Points)
Replied 07 November 2011

Hi i am not yet able to calculate DCF value of share kindly provide me more clear way please.my email id is rohanmishra100 @ gmail.com

CA Sagar Mohandas (Practising ) (39 Points)
Replied 26 November 2011

Dear Friends

Can the working file be shared for the Valuation by DCF Method.

Thanks in advance.

sushil.k.singla (CA Practice ) (11 Points)
Replied 02 February 2012

Dear All,

It would be great if you could provide some inputs on the following query :

A private limited company having say 10,000 existing equity shares happened to issue to a foreign investor - 2000 compulsorily convertible cumulative preference shares (face value Rs. 100) and 1 equity share (face value Rs. 10) at negotiated price of say Rs. 2010/equity share and Rs.2000/ convertible preference share. The issued CCCPS have dividend of .001%, special liquidation preference, voting rights and buy back clause at IRR of 22% after 4 years.

The fair value as per CA certificate was arrived at Rs. 1518 per share by dividing the Enterprise Value (Discounted Cash flows (DFCF) of enterprise) with the existing number of equity shares i.e.10,000 which was filed in Form FCGPR(column 4(e) - Premoney value).

Now, RBI has raised a query that value of CCPS has not been mentioned in CA Certificate. So, following is my query :

i) Whether cash flows from the investor money would be included in the DCFC calculation.

ii) How to determine the fair value of CCPS when there is no existing CCPS class.

iii) Generally, the fair price of CCPS should be higher than the fair price of equity shares or lower than the fair price of equity shares.

iv) How to determine premium/ discount to the value of equity shares arrived at as above (Rs. 1,518), to arrive at the fair price of CCPS.

v) Typically in such kind of cases - any format/ specimen for valuation report by CA and corresponding calculations.

Thank you.

Arun Dhawan (Audit Head) (34 Points)
Replied 11 April 2012

Can i also get the Format of DCF workng,,, My mail id is:

arun.dhawan79 @ gmail.com

Mallikarjun Dambal (Investment Banking) (26 Points)
Replied 27 June 2012

Hi all,

Please do share the DCF formats.

mallikarjundambal @ gmail.com

Thank you in advance.

shantanu (B.com, ACA, LCS) (38 Points)
Replied 11 October 2012

The company wants to issue new shares to its overseas partners. It is incorporated a year before. In share valuation report we should consider :

1. Only existing issued capital OR,

2. To be issueed shares+ existing shares

I got one report where only existing shres are considered.

Please suggest with reference to rules.

ANKITA BHUTRA (BUSINESS) (21 Points)
Replied 05 December 2012

kindly please mail me the method of share valuation as per dcf method.

mail id - ankitabhutra @ rainbowindia.co.in

Harshal (none) (22 Points)
Replied 28 February 2013

i m too looking for a format or some sample and steps for dcf share valuation technique, pls provide me with that, my email id is harshal88ajmera @ gmail.com

KULDEEP SHARMA (PARTNER) (21 Points)
Replied 06 July 2013

can any one give the calculation with practical example for calculating the value of a share on the basis of DCF method

Nishant (student) (22 Points)
Replied 14 July 2014

Hi, Could you please send me the format for DCF valuation method on my email id : nishant.goel56 @ gmail.com

Amar (Student) (321 Points)
Replied 28 October 2015

send me DCF Valuation Format also at amaratdbg @ gmail.com

S.Kavitha (Finance Professional and Student of ICSI) (30 Points)
Replied 15 September 2016

Could anybody send the DCF share valuation format with examples to below mail id?

kavitha.soundaraj @ gmail.com

Thanks and Regards,

S.Kavitha

Raj jain (2 Points)
Replied 05 August 2019

CAN ANY ONE SEND ME THE FORMAT FOR DCF Valuation method pls

S. Neelagandan (CA FINAL) (36 Points)
Replied 06 October 2020

Dear all, Anybody can please provide me the method for valuation of shares by DCF (Discounted Cash Flow) method and how to derive the different figures used in the formula? Kindly reply me soon. If possible provide the excel fomate. Thanks in advance....

Regards S. Neelagandan

Head - Finance

email id: neelsaaa @ gmail.com