That prompted Doosan Group to apply the discounted cash flow, a valuation method that estimates the value of an investment based on its expected future cash flows, and the dividend discount model, a method of valuing the price of a company's capital stock or business value based on the assertion that intrinsic value is determined by the sum of future cash flows from dividend payments to shareholders, discounted back to their present value.“The measure will force the group holding company Doosan Corp.to have a much smaller stake in Robotics than its original plan,” said another industry source, adding the new plan is expected to boost shareholder value.
Enerbility is predicted to win about 10 power plant orders from overseas markets such as Europe, requiring investments in new facilities although Bobcat, which has borrowed 720 billion won, made the parent difficult to manage its funds.“Enerbility will be able to secure more than 1 trillion won for investments by reducing Bobcat’s borrowings and selling more assets,” said the other industry source.“The company is likely to persuade shareholders saying the restructuring will allow it to invest in nuclear power plant equipment promptly.”Bobcat is also predicted to make investments for its future regardless of Enerbility’s business conditions, sources said.“Bobcat hasn’t been able to invest many times because of troubles in the parent Enerbility amid a nuclear power phase-out,” said an investment banking industry source.
Doosan Group plans to spin off Doosan Enerbility Co., its power plant building unit and Bobcat’s top shareholder, into a business company and a new entity with a stake in the construction equipment maker, to merge the latter with Robotics, industry and investment banking sources said.
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