Principles of Private Firm Valuation

127

TABLE 7.6

Relationship between Reported Control Premium and the Pure Control Option

Multiple

R

0.479427062

R

squared

0.229850308

Adjusted

R

squared

0.216097634

Standard error

0.622338539

Observations

58

ANOVA

df

SS

MS

F

Significance F

Regression

1

6.473085778

6.473086

16.71314

0.00014028

Residual

56

21.68909442

0.387305

Total

57

28.16218019

Variables

Coefficients

Standard Error

t-Stat

P-value

Lower 95%

Constant term

0.219780239

0.135031015

1.627628

0.109218

−0.05071921

Pure control option

2.626734985

0.642520922

4.08817

0.00014

1.339611768