Private Buyers Research Articles

Greenlight to go private at sharply reduced value

GreenLight Biosciences, a developer of RNA-based products for agriculture and human health, has agreed to be acquired by a group of private buyers for about $45.5 million in cash, a small fraction of what Greenlight was worth when it went public in 2021. The Massachusett-based firm was founded in 2008 to develop a cell-free method of making RNA. Greenlight went public by merging with a special purpose acquisition company in a deal that valued it at about $1.2 billion. Greenlight has been touting two RNA-based products in its development pipeline—an insecticide intended to help farmers fight the Colorado potato beetle and a miticide that targets the varroa destructor mite, which is considered a threat to honeybees worldwide. Executives said in a recent presentation that they expect to launch seven agricultural active ingredients in all by 2026. But the company has little revenue, and in its first-quarter financial report it acknowledged

Investment Opportunities in Tourist Accommodation Facilities: A Case Study for Batumi

The tourism industry has traditionally been the leading sector of the economy of the Georgian Black Sea resort of Batumi for many decades and is currently experiencing rapid growth. This trend is accompanied by an increase in investment activities and the constructions of rental accommodations. Developers are focusing on promoting their rooms and apartments, positioning them as a source of long-term rental income, while potential private (mostly non-professional) buyers are facing difficulties in making grounded investment decisions. The purpose of this study is to identify a number of key indicators that determine a reasonable return on investments in Batumi tourist facilities. After empirical research on a wide range of variables relevant to making investment decisions in this market, key representative indicators were identified and a research design were developed to explore local investment opportunities. Classifying investment proposals into 4 categories depending on their size, the applied methodology determines frames of profitable investment opportunities for each category. The research design can be applied to other similar destinations as well, by adjusting the indicators to the specifics of the relevant investment markets. Keywords: Tourism, investment, rental accommodations, returns on investment, Batumi JEL Codes: E22, H54, L83, R42

Gun shows and universal background check laws across state lines

States with more gun laws have fewer gun assaults, and associations are strongest for background check laws. However, sales between private buyers and sellers (i.e., gun shows) are exempt from some background check requirements according to federal and most state laws. The aim of this study was to determine whether gun shows are more likely to take place in counties that are near states with universal background check laws. This cross-sectional study used gun show data from a 2018 public online listing aggregated within 3107 counties in the contiguous 48 states. The main independent variable was the presence of a universal background check law in neighboring states. We controlled for potential drivers of demand for gun shows, including the total number of gun laws within-state and in neighboring states, local and in-flowing population size, and proportion of the local and in-flowing population who were gun owners. Bayesian conditional autoregressive Poisson models estimated associations between neighboring-state universal background check law and the presence of a gun show in each county while accounting for spatial dependencies and nesting of counties within states. Of the 1869 identified gun shows, nine of the states in which they occurred had a universal background check law. The presence of excess gun shows in counties near states with universal background check laws is consistent with the hypothesis that gun shows service demand from people seeking to circumvent prohibitions against gun purchases.

The pickup and delivery problem with alternative locations and overlapping time windows

Online second-hand marketplaces have seen a vast increase in transactions in recent years, although sending and receiving parcels can be an inconvenience for private buyers and sellers in C2C settings. To facilitate transportation providers expanding their product portfolio with alternative concepts, we consider the pickup and delivery problem (PDP) with alternative locations and overlapping time windows. The transportation requests have to be served by a fleet of homogeneously capacitated vehicles. Each request may have multiple roaming pickup locations throughout the day with non-overlapping time windows (since the product cannot be in two places at once). A request may also have many roaming delivery locations, and additionally an alternative recipient with their own set of roaming locations. As such, several persons in different locations can be available simultaneously to accept a delivery. Recipients could also use 24-hour locker boxes if these are conveniently located.We propose a solution approach based on a multi-start, adaptive, large neighborhood search with problem specific operators, to solve the pickup and delivery problem with alternative locations. We compare our algorithm with similar problems from the literature and examine in detail different scenarios based on real data provided by an Austrian logistics provider. In particular, we explore the benefits of locker boxes, roaming locations, alternative recipients, and mixed customer profiles based on different preferences concerning data sharing and convenience. We found that an increase in flexibility and convenience for the customers translates into cost savings up to almost 30% for the carriers.

The Relevance of Procurement in Public Administration: A South African Perspective

Public procurement is a big industry in public administration as taxpayers’ money spent by the government on goods, services and infrastructure accounts for the massive gross domestic product (GDP) of a country. This study upholds the idea that public procurement is relevant and activity of public administration. The public administration atmospheres focus on macro milieus and support the government to advance consciousness, dynamics convoluted purchases of government goods, services, works and infrastructure development. Such external environmental aspects moving public and private buyers in the same direction are that of reconnoitring those critical environmental inspirational procurement procedures. This calls for public administrators to design bid processes according to the above-mentioned influences, as they are cradles of government financial spending and economic progression. Public administration philosophies succor to offer dimensions and theoretical conceptual work on how procurement should proceed within the government. Such public administration theories are paramount to transcend the understanding of procurement in the public sector. Specifically, the generic administrative functions as they relate to public procurement are relevant in expounding this research. The paper is the exploratory one, seeking to expand the knowledge base and stimulate discourse on procurement practices in government. A qualitative research and content analysis was employed in this study. It can be deduced that there is the relevance of procurement in government, as government procures and spends billions and even trillions of rands financing goods, services, public works, massive infrastructure development-highways, bridges, dams, airports, seaports and other essential amenities. These massive kinds of procurement have to be accounted for against corrupt and state capture activities.

Determinants of the Method of Payment in M&A Transactions: Updated Evidence

The method of payment choice in merger and acquisition (M&A) transactions has been the subject of much research in the finance literature. Recent contributions have highlighted important changes in the economic environment of acquirers in the U.S., in particular (i) the abolishment of pooling of interest in June 2001, (ii) a persistent policy of low interest rates following the September 11th terrorist attacks and the bursting of the housing and Internet bubbles, and (iii) the sustained increase in the activity of private buyers (e.g., private equity) during the last two decades. These changes motivate us to update the set of stylized facts about the method of payment in M&As. The main takeaway from our analyses is that financial constraints are an important factor motivating acquirers to include stock (at least partially) in the compensation package in M&A transactions in the recent period. Also, ownership and control do not appear to be nearly as important in the U.S. context as the extant literature imagines.

Охотничий промысел северных селькупов в 1920-х – начале 1960-х гг.: обзор рукописи Е. Д. Прокофьевой

The article is to study the hunting of the Northern Selkups in the era of active socialist transformation of the Selkup economy (1920s – early 1960s). So far, none of the scientific publications have considered this topic in detail, assessing its scientific significance and novelty. The scientific significance is emphasized by the new round of industrialization of polar latitudes, which necessitates taking into account the survival experience of the ingenious northerners in their extreme climate. The research tasks include consideration of the manuscript of the ethnographer and scholar of Siberia E. D. Prokofieva “Hunting of the Taz-Turukhan Selkups,” kept in the Archive of the Museum of Anthropology and Ethnography (Kunstkamera) of the Russian Academy of Sciences. It was written on the basis of data collected by E. D. Prokofieva during her expeditions to the northern Selkups in 1925–28 and in 1962. The study of E. D. Prokofieva’s manuscript has been carried out using comparative historical method, methods of analysis and description. The research has resulted in the following conclusions: At the time of the socialist reforms of the Selkup economy, the Selkups still used their traditional means and methods of hunting. The Soviet transformations in the sphere of hunting — the positive ones — include a new procedure for accepting furs from the hunters, which spared them the arbitrariness of private buyers; study of the region’s natural resources and measures for preserving and restoring the number of head. Collectivization, settled lifestyle of hunters in the kolkhozes farmsteads necessary for their work in the new sectors of economy, and elimination of the interval between the hunters’ trips to distant hunting lands allow no unambiguous assessments. These transformations resulted in a drop iof productivity indicators of the Selkup hunting and in violation of the original hunting regulations, thus launching the process of degradation of the Selkup hunting tradition. Soviet reformers were unable to solve some of the oldest problems of hunting, such as lack of transport reindeer, etc. The region administration and the kolkhozes heads had a plan to bring the hunting industry to the forefront, but by 1960 it had not even begun to be implemented. E. D. Prokofieva’s manuscript fills in the gaps in the characterization of some elements and phenomena of the Selkup culture and introduces into scientific use a new valuable source on the history and ethnography of the peoples of Siberia.

The Paddy Farmers’ Channel Choice and Links to the Public and Private Marketing Channels in Sri Lanka

A better understanding of the paddy marketing channels paves the way to explore the dynamics of the rice economy in mixed marketing conditions. Thus, paddy/rice industry in Sri Lanka has now become a serious concern with all its multi-faceted implications. This study examines the influencing factors for the choice of marketing channels by the paddy farmers as well as the links to the public and private marketing channels in Sri Lanka. A sample of 345 farmers were selected using multi-stage random sampling from DS divisions in Ampara, Anuradhapura, Polonnaruwa and Batticaloa districts. A pre-tested structured questionnaire and focus group discussions were conducted to collect primary data. Binary logistic regression was deployed for the data analysis. Results revealed that the average paddy land cultivated in the Maha season in Anuradhapura, Ampara, Polonnaruwa and Batticaloa was 3.41 ac., 3.50 ac., 3.09 ac., and 4.80 ac. respectively. Nearly 52% of the farmers sold their paddy to the Paddy Marketing Board (PMB) showing the popularity of the Government Paddy Purchasing Programme (GPPP) in major producing areas. Analysis further indicated that, low land extent (p<0.1), availability of paddy storage facility (p<0.1), distance to PMB centers (p<0.1), distance to private collectors (p<0.05) and quantity of wet paddy sold (p<0.1) were the criteria which had significant impact over choice of paddy marketing channels. Positive significant coefficient of ‘Distance to PMB center’ reflects that, even if a selected farmer is residing far from the PMB center, he or she is more inclined to select GPPP. PMB centers offer more price premium than in the open market and in some cases, this was more than Rs.10.00/kg. “Quantity of wet paddy sold” is the variable which indicates a negative and significant impact on selecting GPPP. If a particular farmer tends to sell higher quantity of paddy as ‘wet paddy’, he or she is less likely to select GPPP. Farmers who, did not possess safe storage facilities, had difficulties in finding a suitable place to dry paddy, had high labour requirement to reach 14% moisture content in the final produce and the farmers who faced immediate cash needs were more inclined towards private buyers. There are more opportunities for small-scale farmers who produce limited surplus of paddy in government paddy purchasing channel. More time and cost involved, ineffective buying process, strict quality checks, lack of sufficient storage facilities, delaying of the commencement of purchasing and lack of drying facilities are the major problems faced by the farmers when selling paddy to the PMB centers. The major problem highlighted by the farmers regarding selling paddy to private sector is inability to receive a fair price.

The choice of new private and benefit cars vs. climate and transportation policy in Sweden

Dedicated to show climate leadership, Sweden has committed to cut 70% of greenhouse-gas (GHG) emissions in the domestic transportation sector by 2030 compared to 2010 levels (except flights). This study evaluated the environmental impacts of three recent new car policies. Based on questionnaires and market supply data, multinomial logit discrete choice models were developed for private buyers and individuals with company cars for private use, denoted benefit cars. Estimates indicated that preferences among individuals with benefit cars were generally in favor of Alternative Fuel Vehicles (AFVs) as compared to gasoline cars, in contrast with private consumers (ceteris paribus). Thus, the company car market seemed to be the main gateway for AFVs into the fleet; however, average GHG emissions per car sold were similar in both buyer segments, which was likely related to stronger preferences for larger and more expensive benefit cars. The results indicated that subsidies to private buyers would be influential only if they decreased the costs of AFVs as compared to conventional vehicles, and that none of the investigated policies had been very effective in shifting choices in favor of AFVs. Reduced fringe benefits tax for AFVs, annually worth up to €1100, resulted in only 0.7% lower average carbon emissions. A ‘Super Green Car’ premium, worth approximately €2000–€4000 at the time of purchase, decreased emissions by 0.4% among private consumers, twice the impact of a five-year tax-exemption for ‘Green Cars’. It appears that more stringent policies are needed to more substantially reduce GHG emissions from new cars.

Saint Joseph and Baby Jesus by Valentin Metzinger and Other Paintings from the Strahl Collection in the Museum of Arts and Crafts in Zagreb

Karl Ritter von Strahl (1850−1929) was the last owner of the renowned collection of paintings and art objects kept in his castle of Stara Loka (Altenlack) near Škofja Loka in Carniola. In 1929, Strahl sold 32 paintings to Stanko Senečić, an antique dealer from Nova Ves in Zagreb. In the Museum of Arts and Crafts in Zagreb, there are five paintings of hitherto unknown provenance, which undoubtedly originate from the Strahl Collection. The paper discusses the circumstances of Senečić’ s purchase and the earlier provenance of the five paintings. Furthermore, different paths by which the paintings came to the museum in Zagreb are analyzed. As previous research of the interwar art market in the Kingdom of Serbs, Croats, and Slovenes (later Kingdom of Yugoslavia) has shown that Croatian private buyers and professional antique dealers visited regularly the sales of castle and manor furnishings in interwar Slovenia, we can assume that there are more art heritage items originating from Slovenia in present-day Croatian public and private collections, awaiting an analysis of their provenance.

The impact of poverty, risk aversion and time preference on maize marketing channel choice decisions: the case of Zvimba and Makonde districts of Zimbabwe

ABSTRACTThe study deployed the experimental and behavioural economics toolkit to determine how risk aversion attitude, time preference and poverty status influenced farmers’ marketing channel preferences between the state-owned Grain Marketing Board (GMB) and the private buyer market. Following maize market deregulation and subsequent entry of private buyers in the Zimbabwean grain sector, marginalised poor farmers remained confined to the low return private buyer market that offered very low prices, as they avoided GMB whose payment plan was uncertain and delayed. The question therefore was: To what extent did farmers’ risk aversion attitude and time preference explain the poor farmers’ choice for low return private buyer market at the expense of the high return GMB market? Using survey data obtained from 433 maize farmers in Makonde and Zvimba districts, an instrumental variable probit regression model was estimated. The results confirmed that risk aversion attitude and time preferences (as measured by farmers’ discount rate) reduced the likelihood of a farmer participating in a high return state-owned GMB market. Poor farmers were found to be more risk averse and impatient than non-poor farmers in marketing channel selection. Their high risk aversion attitude and impatience constituted the greatest market impediments that restricted them to the low return private buyer market. To make agricultural markets work for poverty reduction the study recommended that policies that promote the development of risk transfer markets and futures markets for maturity transformation of farmers’ payments are critical in guaranteeing effective participation of poor households in high return markets.

Fluid Handling Industry Update: M&A Activity

The 2018 fluid handling industry deal activity started at a near record pace with 26 transactions in Q1 but slowed significantly in Q2 with only ten announced transactions, which is the second lowest level of deal activity in the last four years. So far (through August), Q3 deal volume appears to be on pace or slightly ahead of Q3 2017. This pattern is consistent with reports of general M&A activity year to date but seems inconsistent with the high level of interest that both strategic and private equity buyers continue to show in pursuing quality acquisitions in the fluid handling space.

Surviving niche busters: Main strategies employed by Canadian private insurers facing the arrival of high cost specialty drugs

The Canadian patchwork system of prescription drug coverage and the employer sponsored private health benefits group plans appear vulnerable to cost growth due to insufficient balance of power between fragmented public and private buyers, and pharmaceutical manufacturers. The emergence of “bad” insurance risks caused by new and very expensive treatments featuring high cost specialty medicines – also known as niche buster drugs – exposes this vulnerability. This study fills a gap in knowledge by seeking to better understanding how Canadian private insurers face the arrival of specialty pharmaceuticals. It completes an overview of a body of grey literature composed of publicly available online articles from the employment benefits and group insurance consulting and administration industry; online documents from group benefits sector conferences; and online or on demand materials from Canadian life and health insurers. Claims for high cost specialty drugs generate new bad insurance risks that Canadian health insurers attempt to mitigate through isolated corporate initiatives, industry-wide strategies and calls for universal, public catastrophic coverage. The outcomes of these strategies are limited cost-control measures as well as risk and cost transfers onto plan sponsors, patients and provincial public programs.

Perceptions and Experiences Regarding the Current Market System by Communal Farmers in Mhondoro-Mubaira (Zimbabwe)

The objective of this research was to ascertain the communal farmers’ perceptions and experiences regarding the current communal market system. The study was carried out in the area of Mhondoro-Mubaira, situated in Mashonaland West province of Zimbabwe. The population samples for the study comprised of communal farmers (N=150) and extension officers (N=25. According to the study, private buyers are the most preferred buyers for all the produce, for field, garden crops and livestock. The reason for favorable rating of the private buyers is they offer competitive prices, they pay the farmers on delivery of produce and sometimes they cover transport costs. Even though the private buyers are the most preferred buyers, farmers still prefer selling produce between themselves and the open market because they have control of the prices especially for livestock. The Grain Marketing Board and the Cold Storage Commission, which are government run, are the least favorable markets for the farmers. This is because these institutions offer the lowest prices, they do not pay on delivery and offer any assistance to the farmers regarding transport/transport costs. The results show that the farmers are not satisfied with the of the current market system which they deem restrictive, minimally supported by the government, low participation by the private sector, and the current economic situation in Zimbabwe overburdens the situation. The government of Zimbabwe needs to create a conducive environment for private players to participate with government interferences through overburdening policies.

Small area housing stress estimation in Australia: Calculating confidence intervals for a spatial microsimulation model

ABSTRACTThis study provides small area housing stress estimates by tenure type in Australia with a way of calculating confidence intervals for a spatial microsimulation model. Findings reveal that prevalence of housing stress for private-renter, buyer, public-renter and owner households are 59.6%, 33.2%, 6.9%, and 0.3%, respectively. Almost two-thirds of these households are located in statistical local areas (SLAs) in eight capital cities, and a large number of them are in Sydney and Melbourne. Estimates for private renters and buyers are significantly high in some capitals and southeast coastal regions. About 95.7% of SLAs show accurate estimates with narrow confidence intervals.

Does transfer of control rights and private benefits of control increase efficiency? Evidence from China’s privatization of the SOE’s

This study assesses China’s overall privatization efficiency from the perspective of private benefits of control. Results suggest that there is no statistically significant change in the firm’s performance after the transfer. However, ROE is negatively correlated with the magnitude of block premiums at the point of purchase. The research also finds that the average private benefit of a private controlling shareholder is significantly higher than that of a state-controlling shareholder. Obtaining private benefits of control is often the private buyers’ main acquisition motive. However, private benefit undermines the future corporate performance; therefore, lowering the private benefits may help improve the efficiency of privatization. As of now, privatization by means of controlling right transfer among listed companies is inefficient in China.

Comparative Multi-Criteria Assessment of Climate Policies and Sustainable Development Strategies in Cameroon: Towards a GIS Decision-Support Tool for the Design of an Optimal REDD+ Strategy

Cameroon is committed to reducing emissions from deforestation and forest degradation plus conservation, sustainable management of forests and enhancement of carbon stocks (REDD+). To achieve this goal, the government has introduced a series of policy reforms and formulated a number of key strategic planning documents to advance the REDD+ readiness process in Cameroon. This paper assesses the extent to which major cross-sectoral policies support or impede the development and implementation of an optimal REDD+ strategy in Cameroon from a comparative multi-criteria perspective. Study results reveal that a majority of the policy instruments reviewed appeared to be less prescriptive in terms of any tangible REDD+ strategy, as they do not have provisions for tangible measures to reduce deforestation and forest degradation. Given the lack of adequate flexibility, prompt review and responsiveness of these cross-sectoral policies to adapt themselves to new realities and respond to a changing environment, this paper introduces a GIS-REDD+ decision support system (GIS-REDD+DSS) that is necessary to support the adaptive element of an adaptive REDD+ strategy in Cameroon. The GIS-REDD+DSS, an electronic REDD+agri intermediary hub, serves the following purpose: (1) host a database of locally-relevant climate information, improved input technologies, best practices as well as land use and forest cover geo-spatial maps; (2) host a virtual economic tool that performs economic valuations (costs and benefits) and financial analysis of REDD+agri projects to aid investment decision-making; and (3) host an electronic marketplace to mediate any-to-any transactions among REDD+agri project developers, service providers, input suppliers, private and institutional investors and buyers (wholesalers and retailers), thereby creating value in two ways: aggregation and matching. This decision support tool, we argue, is a fundamental prerequisite for “policy and REDD+ safeguard integration” innovation that allows new scientific findings to be integrated into REDD+ strategies in a short period of time.

Beyond the Helium Conundrum

Helium plays a central role in superconductivity. Despite breakthroughs in high-temperature superconducting materials, helium remains the coolant of choice. Against this there is concern about helium shortages. Global geological helium reserves are estimated to be approximately 8 million tons and are mainly in the U.S., Qatar, Algeria, and Russia. Annual helium production from natural gas runs at approximately 30 000 tons and is distributed across a few players, both public and private: the U.S. government, Air Liquide, Air Products, Linde Group, Matheson, Messer, and Praxair. Currently, the natural gas industry focuses insufficiently on the helium that remains blended throughout the gas supply chain until it is “vented” upon combustion. This constrains new supply development. These factors combine to create waves of market anxiety. Consideration of demand reveals a diversity of government, public, and private buyers each of whom perceives their needs, and how much they are willing to pay, differently. For more than 100 years, researchers in low-temperature physics and especially superconductivity have been dependent on liquid helium supply. Currently the cryogenics and super-conductivity users consume ~ 29% of the global helium supply and 3/4 of that is taken by the magnetic resonance imaging/nuclear magnetic resonance market. These users are already responding to helium price increases by developing liquid cryogen-free technologies to gain independence from the helium market. The purpose of this article is to explore options facing the global helium industry and helium users in an attempt to answer the question: what is the future of helium and how would that influence the cryogenic and superconductivity market? We consider the future options for current users such as: discontinuing helium-related activities; continuing to pay higher helium prices; running expensive onsite storage/reliquefaction helium systems; deploying costly cryogen-free low-temperature installation; influencing policy on the global industry extracting and distributing helium from natural gas or developing new, disruptive technologies that may reduce helium demand.

Prevention and Deterrence of Bid Rigging: A Look from the 2011 Proposal for a New EU Directive on Public Procurement

The relevance of preventing and deterring instances of bidders’ collusion or bid rigging in public procurement has gained notorious attention in recent years, both due to the evident pressure on the public buyer to maximise value for money in times of crisis, and to the increased efforts and advocacy papers published by international organisations such as the OECD. Developing effective tools to prevent and deter collusion in public procurement can generate very relevant savings for the public purse and boost expenditure capabilities, as well as make a significant contribution to the promotion of effective market competition in sectors where procurement accumulates a significant volume of total purchases — to the indirect benefit of private buyers of the same or similar goods or services.This paper describes the current situation, where bid rigging seems pervasive in public-buyer dominated industries (at least in the European Union) and then focuses on some of the instruments and provisions designed to prevent and deter bid rigging that have been included in the new Directive 2014/24 on public procurement (replacing current Directive 2004/18). The paper particularly focuses on the issues of contract division into lots and the rules controlling disqualification, suspension and debarment of competition law infringers, as two of the main tools that could effectively help prevent and deter collusion in the public procurement setting.

A best practice guide for hiring consultants

PurposeThe aim of this viewpoint is to highlight the importance of best practice when hiring external consultancy.Design/methodology/approachReductions in spend by both public and private sector buyers is putting pressure on the consulting industry. Growing competition is leading consultancies known for their focus on strategic consulting to move into the implementation space and other some firms are broadening their areas of operation. With more consultancy firms chasing fewer contracts, it has never been more important for buyers to ensure rigor and good practice when engaging consultancies in order to select the best consultants for the issue at hand.FindingsThis guide documents some of the key best‐practice behaviors and processes for buyers of consultancy.Practical implicationsCompanies can ensure they hire the best consultants for their needs.Originality/valueThe article provides sound practical advice on the need for hiring consultants.