M&A Final Exam Latest Update 2025 With
Questions and Answers(verified solutions)
Already Graded A+
Who sold Miller Brewing to restructure? - CORRECT ANSWER-Philip Morris
5 deals in Brewing Industry: (are they friendly? what is there structure?) - CORRECT ANSWER-(1) South
Af. Brewing buys Miller (2) Interbrew buys AmBev (3) Coors buys Molson (4) SABMiller buys Molson
Coors (5) InBev buys Anheuser Busch .... all are horizontal... all are friendly except for Anheuser Busch
What were the strategic shocks for the Brewing industry over the years? - CORRECT ANSWER-(1)
Political changes -- prohibition / free trade of NAFTA and EU reducing tarriffs (2) tech changes -- lower
shipping costs / better inventory management through bar codes
, 7 Steps of the Private Takeover Process - CORRECT ANSWER-(1) deal initiation (2) select advisors (3)
contact bidder(s) (4) confidentiality/standstill agreement (5) Indications of interest (6) formal private bid
(7) takeover agreement
Steps of a Public Takeover Process - CORRECT ANSWER-(1) takeover announcement publically (2)
public bidding ....
Strategic Alternatives when your stock is tanking - CORRECT ANSWER-(1) sell some assets (2) acquire
someone (3) be acquired (4) take the company private (5) generally cut costs
Applebee's International Takeover (Strategic Alternatives) - CORRECT ANSWER-depressed stock prices
led them to (1) menu enhance ... (2) then proxy contest threatened, and changes in franchising strategy
proposed by activist hedgefund ........(3) FILL IN!!
Maytag Corporation (Strategic Alternatives) - CORRECT ANSWER-Extended Auction ... (1) Ripplewood
(bidder) reaches out to make contact (2) Maytag engages I-bank as an advisor (3) Ripplewood submits
proposal price (4) Maytag creates special committee (non-managing directors) ... their debt rating drops
... leading to Ripplewood dropping their offer. (5) Maytag gets a go-shop period to find a potentially
higher bidder... + termination fee for Ripplewood if Ripplewood doesn't want to match it (6) Whirpool
makes an offer, Ripplewood offers somewhat higher but not higher than Whirlpool. (7) Maytag picks
Whirlpool.
Anheuser Busch & InBev deal (3 steps) - CORRECT ANSWER-(1) IB gives "BEAR HUG LETTER" offering
$65/share in cash for AB. (2) IB tries to out AB's board through -- proxy contest + law suits threatened
(3) IB sells Labatt USA to overcome antitrust concerns centered on increase in prices in north NY (Labatt
was canadian). --- DEFM & vote of target SHs, which means it was a merger / not friendly / horizontal.
AB&IB want Modelo (antitrust strategies) - CORRECT ANSWER-(1) DoJ doesn't want AB&IB to acquire
Grupo Modelo for antitrust concerns (2) AB&IB acquire and sell the US sale rights of Corona to another
co. (licenses it) and sells a brewery that's on the US-Mexico border.
AB&IB and SABMiller (motivators) - CORRECT ANSWER-the first "truly global beer co." ... ABIB has no
presence in Africa... horizontal merger that increases their presence throughout the world-market.
Questions and Answers(verified solutions)
Already Graded A+
Who sold Miller Brewing to restructure? - CORRECT ANSWER-Philip Morris
5 deals in Brewing Industry: (are they friendly? what is there structure?) - CORRECT ANSWER-(1) South
Af. Brewing buys Miller (2) Interbrew buys AmBev (3) Coors buys Molson (4) SABMiller buys Molson
Coors (5) InBev buys Anheuser Busch .... all are horizontal... all are friendly except for Anheuser Busch
What were the strategic shocks for the Brewing industry over the years? - CORRECT ANSWER-(1)
Political changes -- prohibition / free trade of NAFTA and EU reducing tarriffs (2) tech changes -- lower
shipping costs / better inventory management through bar codes
, 7 Steps of the Private Takeover Process - CORRECT ANSWER-(1) deal initiation (2) select advisors (3)
contact bidder(s) (4) confidentiality/standstill agreement (5) Indications of interest (6) formal private bid
(7) takeover agreement
Steps of a Public Takeover Process - CORRECT ANSWER-(1) takeover announcement publically (2)
public bidding ....
Strategic Alternatives when your stock is tanking - CORRECT ANSWER-(1) sell some assets (2) acquire
someone (3) be acquired (4) take the company private (5) generally cut costs
Applebee's International Takeover (Strategic Alternatives) - CORRECT ANSWER-depressed stock prices
led them to (1) menu enhance ... (2) then proxy contest threatened, and changes in franchising strategy
proposed by activist hedgefund ........(3) FILL IN!!
Maytag Corporation (Strategic Alternatives) - CORRECT ANSWER-Extended Auction ... (1) Ripplewood
(bidder) reaches out to make contact (2) Maytag engages I-bank as an advisor (3) Ripplewood submits
proposal price (4) Maytag creates special committee (non-managing directors) ... their debt rating drops
... leading to Ripplewood dropping their offer. (5) Maytag gets a go-shop period to find a potentially
higher bidder... + termination fee for Ripplewood if Ripplewood doesn't want to match it (6) Whirpool
makes an offer, Ripplewood offers somewhat higher but not higher than Whirlpool. (7) Maytag picks
Whirlpool.
Anheuser Busch & InBev deal (3 steps) - CORRECT ANSWER-(1) IB gives "BEAR HUG LETTER" offering
$65/share in cash for AB. (2) IB tries to out AB's board through -- proxy contest + law suits threatened
(3) IB sells Labatt USA to overcome antitrust concerns centered on increase in prices in north NY (Labatt
was canadian). --- DEFM & vote of target SHs, which means it was a merger / not friendly / horizontal.
AB&IB want Modelo (antitrust strategies) - CORRECT ANSWER-(1) DoJ doesn't want AB&IB to acquire
Grupo Modelo for antitrust concerns (2) AB&IB acquire and sell the US sale rights of Corona to another
co. (licenses it) and sells a brewery that's on the US-Mexico border.
AB&IB and SABMiller (motivators) - CORRECT ANSWER-the first "truly global beer co." ... ABIB has no
presence in Africa... horizontal merger that increases their presence throughout the world-market.
