Merger, Acquisition, JV Analysis Templates
Originally published: 12/02/2024 09:17
Last version published: 13/02/2024 11:10
Publication number: ELQ-91007-2
View all versions & Certificate

Merger, Acquisition, JV Analysis Templates

11 Powerpoint Templates to perform standardized research and Merger & Acquisition strategy.

  1. Evaluate price to acquire (use back-of-the-envelope Valuation techniques to consider whether the deal is reasonably priced, such as those based on Comparable Company Analysis or Precedent Transaction Analysis)
  2. Perform Target company-specific analysis
  • Market position
  • Customer Concentration and customer certainty
  • Supplier relationships and supplier certainty
  • Barriers to Entry
  • Reputation and brand loyalty
  • Product/regulatory/technology risks
  1. Compute expected profitability resulting from acquisition
  • Pay-Back Period/Net Present Value/Internal Rate of Return based on current operations and growth estimates
  • Add in Cost or Revenue improvements from Synergies (see below)
  • Subtract out Integration and Restructuring expenses (also determine whether the project is feasible)
  • Compare with similar projections if the Company were to endeavor to grow organically (required capital expenditures, cost of marketing strategy, etc.)
  1. Estimate Synergies
  • Ability to combine or leverage joint distribution channels across products produced by acquirer or target
  • Value of expending geographic/market reach
  • Cost synergies (such as spreading overhead costs across a larger combined business or combining redundant IT systems)
  1. Evaluate other transaction dynamics
  • Strategic fit
  • Cultural challenges
  • Competitor response
  1. Assess the medium-to-long-term plan for the acquisition
  • Plan to exit (if relevant—note that this will always be relevant for Private Equity firms)
  • Plan to restructure the organization, if any, and how/why

This Best Practice includes
11 powerpoint slides

Newron Labs offers you this Best Practice for free!

download for free

Add to bookmarks


0.0 / 5 (0 votes)

please wait...