M&A Final Exam Questions & Answers
(1) deal initiation (2) select advisors (3) contact bidder(s)
7 Steps of the Private
Takeover Process (4) confidentiality/standstill agreement (5) Indications of
interest (6) formal private bid (7) takeover agreement
Steps of a Public Takeover (1) takeover announcement publically (2) public bidding ....
Process
Strategic Alternatives (1) sell some assets (2) acquire someone (3) be acquired
when your stock is (4) take the company private (5) generally cut costs
tanking
depressed stock prices led them to (1) menu enhance ... (2) then
Applebee's International
proxy contest
Takeover (Strategic
threatened, and changes in franchising strategy proposed by
Alternatives) activist hedgefund ........
(3) FILL IN!!
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 Corporation
Maytag
(Strategic Alternatives)
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.
Who sold Miller Brewing to Philip Morris
restructure?
(1) South Af. Brewing buys Miller (2) Interbrew buys AmBev (3)
5 deals in Brewing Industry:
Coors buys Molson
(are they friendly? what is
(4) SABMiller buys Molson Coors (5) InBev buys Anheuser Busch
there structure?) ................................................................................ all are
horizontal. all are friendly except for Anheuser Busch
(1) Political changes -- prohibition / free trade of NAFTA
What were the strategic
and EU reducing tarriffs (2) tech changes -- lower
shocks for the Brewing
shipping costs / better inventory management
industry over the years?
through bar codes
, (1) IB gives "BEAR HUG LETTER" offering $65/share in
cash for AB. (2) IB tries to out AB's board through --
Anheuser Busch & InBev deal proxy contest + law suits threatened (3) IB sells Labatt
(3 steps)
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.
(1) deal initiation (2) select advisors (3) contact bidder(s)
7 Steps of the Private
Takeover Process (4) confidentiality/standstill agreement (5) Indications of
interest (6) formal private bid (7) takeover agreement
Steps of a Public Takeover (1) takeover announcement publically (2) public bidding ....
Process
Strategic Alternatives (1) sell some assets (2) acquire someone (3) be acquired
when your stock is (4) take the company private (5) generally cut costs
tanking
depressed stock prices led them to (1) menu enhance ... (2) then
Applebee's International
proxy contest
Takeover (Strategic
threatened, and changes in franchising strategy proposed by
Alternatives) activist hedgefund ........
(3) FILL IN!!
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 Corporation
Maytag
(Strategic Alternatives)
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.
Who sold Miller Brewing to Philip Morris
restructure?
(1) South Af. Brewing buys Miller (2) Interbrew buys AmBev (3)
5 deals in Brewing Industry:
Coors buys Molson
(are they friendly? what is
(4) SABMiller buys Molson Coors (5) InBev buys Anheuser Busch
there structure?) ................................................................................ all are
horizontal. all are friendly except for Anheuser Busch
(1) Political changes -- prohibition / free trade of NAFTA
What were the strategic
and EU reducing tarriffs (2) tech changes -- lower
shocks for the Brewing
shipping costs / better inventory management
industry over the years?
through bar codes
, (1) IB gives "BEAR HUG LETTER" offering $65/share in
cash for AB. (2) IB tries to out AB's board through --
Anheuser Busch & InBev deal proxy contest + law suits threatened (3) IB sells Labatt
(3 steps)
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.
