What is Spartan Energy Acquisition Probability of Financial Distress (%)?
Probability of Financial Distress (%) measures the probability that a company will go bankrupt in the upcoming year given its current financial position. A higher ratio indicates a larger probability of bankruptcy for the company, while a lower ratio indicates a healthier fundamental. As of today, Spartan Energy Acquisition's Probability of Financial Distress (%) is 50.00%.
Like the Altman Z-Score, the PFD measures a company's bankruptcy risk. However, the main drawback of the Z-score is it does not apply to banks and insurance companies. According to Investopedia, the concept of "working capital" does not apply to banks and insurance companies, as financial institutions do not have typical current assets or current liabilities like inventories or accounts payable.
Competitive Comparison of Spartan Energy Acquisition's Probability of Financial Distress (%)
For the Shell Companies subindustry, Spartan Energy Acquisition's Probability of Financial Distress (%), along with its competitors' market caps and Probability of Financial Distress (%) data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Spartan Energy Acquisition's Probability of Financial Distress (%) Distribution in the Diversified Financial Services Industry
For the Diversified Financial Services industry and Financial Services sector, Spartan Energy Acquisition's Probability of Financial Distress (%) distribution charts can be found below:
* The bar in red indicates where Spartan Energy Acquisition's Probability of Financial Distress (%) falls into.
Spartan Energy Acquisition Probability of Financial Distress (%) Calculation
Probability of Financial Distress (%) (PFD) was developed by John Campbell, Jens Hilscher and Jan Szilagyi in their Search of Distress Risk. It measures the probability that a company will go bankrupt within the next 12 months given its current financial position.
The Probability of Financial Distress (%) was obtained by a logit probability model based on eight explanatory variables. The logit formula to compute the probability of financial distress (LPFD) is given below:
| LPFD | = | -20.12 * NIMTAAVG | + | 1.60 * TLMTA | - | 7.88 * EXRETAVG | + | 1.55 * SIGMA | - | 0.005 * RSIZE | - | 2.27 * CASHMTA | + | 0.070 * MB | - | 0.09 * PRICE | - | 8.87 |
| = | 0.00 |
The Probability of Financial Distress (%) (PFD) was then obtianed by:
| PFD | = | 1 | / | (1 + e^(-LPFD)) | * | 100% |
| = | 50.00% |
The eight explanatory variables are:
1. NIMTAAVG = Net Income to Market Total Assets
*Note that for companies reported quarterly, geometrically declining weighted quarterly Net Income data in latest four quarters are used.
2. TLMTA = Total liabilities to Market Total Assets
3. CASHMTA = Cash to Market Total Assets
For non-financial companies, CASHMTA is measured as:
4. EXRETAVG = Excess Return compared to the S&P 500
EXRETAVG is the weighted excess return compared to the S&P 500 in past 12 month. Geometrically declining weights are imposed on the monthly excess return to reflect lagged information. The weight is halved each quarter.
5. SIGMA = Standard Deviation of Daily Returns
For sigma, we use the annualized standard deviation of a company's returns over the past 92 days (or 63 trading days).
6. RSIZE = Relative Size
| RSIZE | = | log (Market Cap | / | Total Market Cap of S&P 500 companies) |
7. MB = Market to Adjusted Book Equity Ratio
8. PRICE
PRICE is measured as the log of the stock price, capped at log(15).
Spartan Energy Acquisition (Spartan Energy Acquisition) Business Description
Traded in Other Exchanges
N/A
Address
9 West 57th Street, 43rd Floor, New York, NY, USA, 10019
Spartan Energy Acquisition Corp is a blank check company formed for the purpose of effecting a merger, capital stock exchange, asset acquisition, stock purchase, reorganization or similar business combination.
Executives
| Glazer Capital, Llc |
10 percent owner |
250 WEST 55TH STREET, SUITE 30A, NEW YORK NY 10019 |
| Paul J Glazer |
10 percent owner |
250 WEST 55TH ST, SUITE 30A, NEW YORK NY 10019 |
| John J Macwilliams |
director |
P O BOX 22027, TULSA OK 74121 |
| Apollo Management Holdings Gp, Llc |
10 percent owner |
9 W. 57TH STREET, 43RD FLOOR, NEW YORK NY 10019 |
| Apollo Management Holdings, L.p. |
10 percent owner |
9 W. 57TH STREET, NEW YORK NY 10019 |
| Apollo Commodities Management, L.p. |
10 percent owner |
2711 CENTERVILLE ROAD, SUITE 400, WILMINGTON DE 19808 |
| Gregory A Beard |
10 percent owner |
C/O ATHLON ENERGY INC., 420 THROCKMORTON STREET, SUITE 1200, FORT WORTH TX 76102 |
| Geoffrey Strong |
10 percent owner |
C/O APOLLO MANAGEMENT, 9 W. 57TH STREET, 43RD FLOOR, NEW YORK NY 10019 |
| Apollo Natural Resources Partners Ii, L.p. |
10 percent owner |
ONE MANHATTANVILLE ROAD, SUITE 201, PURCHASE NY 10577 |
| Spartan Energy Acquisition Sponsor Llc |
10 percent owner |
9 WEST 57TH STREET, 43RD FLOOR, NEW YORK NY 10019 |
| Jan C. Wilson |
director |
18 A HAZELTON AVE., SUITE 606, TORONTO A6 M5R 2E2 |
| J Michael Stice |
director |
525 CENTRAL PARK DRIVE, OKLAHOMA CITY OK 73105 |
| Robert C Reeves |
director |
1001 LOUISIANA STREET, HOUSTON TX 77002 |
| James Crossen |
officer: CFO and CAO |
9 WEST 57TH STREET, 43RD FLOOR, NEW YORK NY 10019 |
Spartan Energy Acquisition (Spartan Energy Acquisition) Headlines
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
Portfolio Contest
SPAQ.U has been successfully added to your