The Stout Risius Ross Restricted Stock Study: A Recent Examination of Private Placement Transactions from September 2005 through May 2010
SRR has conducted a comprehensive study of restricted stock transactions, which are an important source of empirical data used in estimating discounts for lack of marketability. The study differentiates itself by analyzing more recent market transactions compared to older studies and by providing comprehensive analysis of factors that may impact the size of restricted stock discounts. Moreover, the study focuses on quantifying discounts associated with shorter holding periods than those observed in older studies. This article presents the comprehensive findings of the study.
Contributor Notes
Aaron M. Stumpf, CPA/ABV is a Director and Robert L. Martinez is a Senior Analyst in the Valuation and Financial Opinions Group at Stout Risius Ross, Inc. (“SRR”). SRR is a financial advisory firm specializing in Investment Banking, Valuation and Financial Opinions, and Dispute Advisory and Forensic Services.
Christopher T. Stallman is a Senior Analyst with Fontinalis Partners.