2) Structuring M&A deal

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  • Created by: Katie
  • Created on: 30-11-16 12:09
One-to-one negotiations
- Buyer prefers (no comp) -speedy -simple
1 of 12
Formal bidding
-Large companies with a lot of interest -complex -time consuming -expensive (specialists)
2 of 12
Informal bidding
-Small companies -1on1 with multiple buyers -competition -simple
3 of 12
Share deal
- Full or partial -buy all shares -LBO, MBO and merger
4 of 12
Asset deal
-sale of assets -full -partial -joint venture
5 of 12
Statutory merger
Forward/reverse/ combination
6 of 12
+ve of share deal
simple and speedy, no transfer of contracts etc, limited liability & possible w/out management
7 of 12
-ve of share deal
Unwanted assets and liabilities, all employees taken and minority shares may still be w/ seller
8 of 12
+ve asset deal
Buy interesting assets, only known assets and liabilities and no need to keep employees
9 of 12
-ve asset deal
Contracts and patents not easily transfered, creditors must approve, time consuming and management must agree
10 of 12
+ve statutory merger
Simple transfer of all rights and liabil, 1 single step for transfer and no minority shares in seller
11 of 12
-ve statutory merger
2 valuations (have to decide), 2 shareholder meetings and management cooperation
12 of 12

Other cards in this set

Card 2

Front

Formal bidding

Back

-Large companies with a lot of interest -complex -time consuming -expensive (specialists)

Card 3

Front

Informal bidding

Back

Preview of the front of card 3

Card 4

Front

Share deal

Back

Preview of the front of card 4

Card 5

Front

Asset deal

Back

Preview of the front of card 5
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