Providing Fair Market Valuations of Royalties, Royalty Buyback Options, & Contingent Payment Streams

RSA provides an analytically rigorous system for estimating the fair market value (FMV) of royalties, buyback options streaming agreements and other contingent payment streams using a combination of human expertise and novel computational techniques.

We provide detailed distributions of FMV along with optimal interval range estimates and scalar values at ultra-fast computational speeds compared to Monte Carlo simulations.

Ideal for negotiations between buyers and sellers
Analytically sound and fully auditable valuations
Vastly superior to spreadsheet and Monte Carlo valuation methods

The ROSAVAL™ tool is helpful in performing rapid analyses of multiple scenarios for a complex financial instrument to enable considered decision-making by all parties.

– Sibanye Stillwater Limited

WE HAVE A REVOLUTIONARY SOLUTION TO A COMPLEX INDUSTRY PROBLEM

Current FMV estimates for royalties, buyback options, streaming agreements and other contingent payment streams often involve a great deal of guesswork and even faulty accounting methods that fail to account properly for all the uncertainty and imprecision in the inputs to a calculation.

Our technology utilizes the best of human expertise for its inputs and features extremely fast calculation methods to deliver reliable evaluations of the full “footprint of uncertainty” of FMV, along with a corresponding interval range estimate and a nominal scalar value.
SUMMARY OF APPLICATIONS
  • Facilitate FMV negotiations between buyers and sellers
  • Determine the FMV of buyback option premiums vs. time to expiration
  • Address what-if pricing issues under conditions of unequal bargaining power and variable estimates of uncertain/imprecise information
  • Identify overvalued or undervalued options for hedge funds and arbitrageurs
  • Support accountants, appraisers, and bankers in auditing, advising and financing market participants
  • Support investment bankers in assessing mergers or acquisition prospects for clients
  • Applicable to all commodity types (mining, oil & gas, agricultural, water, etc.)

INTRODUCING ROSAVAL™