Exchange Currency

envy ratio

A calculation used after a buyout to represent how much the management company spent versus the investing company, proportional to the amount of equity each company received. Envy ratio is calculated as: (Price investor paid / Percent equity owned by investor) / ( Price management paid / Percent equity owned by management ). The envy ratio shows which group paid more per share. This term is most often used in the United Kingdom.

Related information about envy ratio:
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  4. Carried Interest: Envy Ratio
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  5. A Way with Words | envy ratio
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    Envy Ratio - envy ratio is a calculation used after a buy out of a company... This entails finding out how much the management company spent, versus the ...
     
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    The envy ratio reflects how far the portfolio company executives are ... If the envy ratio is 3, this means that the investment made by management to share ...