Question:

What is the difference between a merger and an acquisition?

Answer hidden.

Answer:

The truth is that they are the same thing. There is technically always a buyer and a seller in any M&A transaction.

The difference is more semantic than anything else. We call transactions mergers when the companies are comparable in size and we call them acquisitions when the buyer is significantly larger than the seller.

Other

Merger Model

Why would an acquisition be dilutive?

Merger Model

A company with a higher P/E multiple acquires one with a lower P/E multiple. Is this deal accretive or dilutive?

Merger Model

Why would a strategic acquirer typically be willing to pay more for a company than a private equity firm?

Merger Model

Is there a shortcut to determine whether a transaction is accretive or dilutive to shareholders?

Merger Model

Question:

What is the difference between a merger and an acquisition?

Answer:

Other

Merger Model

Why would an acquisition be dilutive?

A company with a higher P/E multiple acquires one with a lower P/E multiple. Is this deal accretive or dilutive?

Why would a strategic acquirer typically be willing to pay more for a company than a private equity firm?

Why does goodwill get created in an acquisition?

What are synergies? What kinds of synergies are there?

Walk me through a basic merger model

What are some reasons for why a company would want to acquire another company?

Is there a shortcut to determine whether a transaction is accretive or dilutive to shareholders?

In an all-stock deal, how can you quickly tell if a deal will be accretive or dilutive?

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