Aberlyn Capital Management: July 1993

Aberlyn Capital Management: July 1993: "

Aberlyn Capital Management, a venture leasing firm specializing in providing capital to biotechnology firms, proposes to introduce a new product. Aberlyn will base a lease on an intangible product: the patent of a biotechnology firm. This poses a series of short and longer run challenges.

Learning Objective: To understand financing alternatives for high-risk firms and to consider the valuation of complex securities; to address the optimal introduction of a new security.

"