Class #9, Thursday, November 10, 2005

Topic: Joint venture and cross-border valuation

Case:  Continental Cablevision/Fintelco Joint Venture, UVA-F-1149

File: CONCAB.XLS

Assignment Questions:

1.      Is entry into the Argentine market a good strategic move for Continental?  Is Fintelco an appropriate venture partner?

2.  What are the major opportunities and risks you see in the venture?

3.   Is $80 million for a 50 percent interest in Fintelco a fair price? 

4.     Should Hostetter recommend the joint-venture proposal for adoption?