I have some experience of valuing the shares of unquoted limited companies, but was wondering how the valuation of a company's 'B' shares (right to dividend only) would differ to that of the company's 'A' shares (rights to dividends and voting rights)?
Thank in advance for your assistance.
Rob Cole
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Annuity
If it is merely an income share and has no right to capital, then it is simply an annuity. It's all down to how certain the income stream is as to how valuable the property is. Your discount percentage should reflect that.
A 90% discount wouldn't be uncommon.