The Decision to Do the Deal
Learn about the various considerations that drive a company’s decision to buy, sell, or combine companies.
Transcript
Why does a company decide to merge with or acquire another company? What is its motivation, and how does it select a target? Conversely, what factors lead a company to consider selling, and how does it maximize its value?
I. The Motive to Buy
Broadly speaking, a company seeks to merge with or acquire another company for either financial or strategic reasons.
A. Financial Buyers
Financial buyers seek to invest in companies to attain a wealth of assets. A prime example of a financial buyer is a...
