Founded in 1992 by senior executives with entrepreneurial, line operating, and bulge bracket investment banking experience.
During the month of March 2010, Avalon, as the sole placement agent, raised Frederick's of Hollywood Group Inc. $3mm in common stock and warrants.
|
|
|
Last In, First Out Inventory Method (LIFO)
An accounting method for valuing the Cost of Goods Sold that assumes the newest item in inventory is used first. See FIFO.
Lease
A rental agreement for an asset. There are two kinds of leases: Capital Leases and Operating Leases.
Letter of Intent (LOI)
A preliminary outline of the major terms of a proposed transaction.
Leveraged Buy-Out (LBO)
An acquisition in which a public company is taken private or control of a private company is purchased in a transaction that is financed using a high degree of debt collateralized by the company's assets.
Liabilities Not Assumed
In a transaction, liabilities not transferred to the buyer.
Liability
An amount owed by a company including short-term and long-term liabilities. Short-term liabilities are amounts payable indebtness that must be paid within 12 months while long-term liabilities are due beyond one year.
Limited Liability Company (LLC)
A form of ownership, owned by its members, which is a separate legal entity that has continuity of life and is not dependent on any one member for maintaining its legal existence. An LLC is governed by a particular state's laws, however, in general it has the advantage that its members maintain limited liability while avoiding Double Taxation.
Limited Partnership
An ownership entity used to limit liability for most of its partners and avoid Double Taxation. One or more partners, designated as general partners, manage the partnership's daily operations and have unlimited liability for the entity's debts while the limited partners are only liable for their capital contributions. See Partnership.
Liquidation
A process by which a company's business is sold or its operations terminated and its assets are sold. The proceeds are used to pay creditors based on priority of debt claims and the remaining funds, if any, are distributed to stockholders.
Liquidation Preference
The amount an investor is entitled to receive prior to any distribution to holders of common stock. For preferred stockholders, the liquidation preference is usually equal to the purchase price plus any unpaid accumulated dividends.
Liquidity
The ease by which an asset can be converted to cash (i.e., marketable securities are highly liquid assets, while real estate is not).
Liquidity Ratios
A ratio that measures a company's ability to pay off short-term debt as it becomes due. The main ratios of this type are the current ratio (Current Assets divided by Current Liabilities) and the quick ratio (Current Assets less inventory divided by Current Liabilities).
Lock Up
The contractual obligation between the underwriter, the company and certain security holders, whereby the holders agree to refrain from selling the securities during a specified period following the effective date of a registration statement filed by the company with the SEC. Also referred to as a market standoff.
|
|
|
|
|
