Investment Bankers often become involved with the mergers and acquisitions of firms. So, why might a firm...

60.1K

Verified Solution

Question

Finance

Investment Bankers often become involved with the mergers andacquisitions of firms.

So, why might a firm need an investment banking firm to bothinitiate and complete either the merger or acquisition of afirm...and, tell us what the difference is between a merger and anacquisition.

In addition, as CEO (chief investment officer) of the firm, youare to determine the best time to commence the merger/acquisitionand the terms of the purchase/take-over. What type of questionsmight you have, and, what types of market (stock/bond market levelsof rates and activity) conditions might favor various methods forsaid merger/acquisition. Lastly, how might you go about selectingan investment banking firm?

Answer & Explanation Solved by verified expert
4.2 Ratings (687 Votes)
1 Difference between merger and acquisition Consider there are two companies A and B When A merges with B the assets and liabilities of both these companies are combined into a single combined entity When A acquires B A purchases the equity portion either partially    See Answer
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!
Become a Member

Transcribed Image Text

Investment Bankers often become involved with the mergers andacquisitions of firms.So, why might a firm need an investment banking firm to bothinitiate and complete either the merger or acquisition of afirm...and, tell us what the difference is between a merger and anacquisition.In addition, as CEO (chief investment officer) of the firm, youare to determine the best time to commence the merger/acquisitionand the terms of the purchase/take-over. What type of questionsmight you have, and, what types of market (stock/bond market levelsof rates and activity) conditions might favor various methods forsaid merger/acquisition. Lastly, how might you go about selectingan investment banking firm?

Other questions asked by students