Damodaran on Valuation_ Security Analysis for Investment and Corporate Finance ( PDFDrive )

Williamette Associates extended this study to look at
transactionsinthethreeyearspriortoinitialpublicofferings,
adjustedforchangesintheP/Eratiobetweenthetimeofthe
transactionandtheIPO,andreporteddiscountsrangingfrom
32 to 75 percent.
54 Figure 14.5summarizes their findings.

FIGURE 14.5Discount on IPOs—Three Years Prior to IPO

Source:Williamette Associates (2002).