Initial position: The management of Austrian PIERER MOBILITY AG (ex KTM INDUSTRIES) intends to acquire...
60.1K
Verified Solution
Link Copied!
Question
Finance
Initial position: The management of Austrian PIERER MOBILITY AG (ex KTM INDUSTRIES) intends to acquire 100% of Dutch ACCELL Group retroactively as of January 1, 2022.(Balance sheet per 31.12.2021)
As an external M&A advisor your are engaged to develop an attractive financial structure of the deal.
Create the financial structure of the deal and maximise ROE for year 1 (2022, same numbers as 2021) presuming
- PIERER places a counter offer to the bid of KKR at the same offer price. - PIERER's financial strategy stipulates a minimum equity ratio of 35%. - Possible acquisition loan: no repayment in year 1, interest rate = financial cost 2021 - Future development of both companies corresponds with the latest financial statements (FC 2022 = A 2021). - Synergies: Sales: +5% Cost: -3%
Key criteria:
1) Calculation Purchase Price ACCELL 2) Minimum Equity ratio consideration 3) Debt capital consideration 4) Synergies 5) Maximising ROE
Get Answers to Unlimited Questions
Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!
Membership Benefits:
- Unlimited Question Access with detailed Answers
- Zin AI - 3 Million Words
- 10 Dall-E 3 Images
- 20 Plot Generations
- Conversation with Dialogue Memory
- No Ads, Ever!
- Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Other questions asked by students
StudyZin's Question Purchase
1 Answer
$0.99
(Save $1 )
One time Pay
- No Ads
- Answer to 1 Question
- Get free Zin AI - 50 Thousand Words per Month
Unlimited
$4.99*
(Save $5 )
Billed Monthly
- No Ads
- Answers to Unlimited Questions
- Get free Zin AI - 3 Million Words per Month
*First month only
Free
$0
- Get this answer for free!
- Sign up now to unlock the answer instantly
You can see the logs in the Dashboard.