“Two heads are better than one”
~Akio Merita
Mergers & acquisitions (M&A) refer to the management, financing, and strategy involved with buying, selling, and combining companies.
OUR MAIN READS
Canadian Pacific Kansas City: First Single-Line Rail Network Linking U.S.-Mexico-Canada
Canadian Pacific Railway Limited (TSX: CP, NYSE: CP) (“CP”) and Kansas City Southern (NYSE: KSU) (“KCS”) announced they have entered into a merger agreement, under which CP has agreed to acquire KCS in a stock and cash transaction representing an enterprise value of approximately USD$31 billion, which includes the assumption of $3.8 billion of outstandingContinue reading “Canadian Pacific Kansas City: First Single-Line Rail Network Linking U.S.-Mexico-Canada”
Pharmaceutical, Pfizer acquires California-based Arena
On the 13th of December 2021 Pfizer Inc, a US-based pharmaceutical company, announced a definitive agreement to buy Arena Pharmaceuticals Inc, a clinical stage company. The value of the deal amounts to $6.73bn, with an offer price of $100 per share. The board of directors of both companies have unanimously approved the transaction. Investment ConsiderationsContinue reading “Pharmaceutical, Pfizer acquires California-based Arena”
Microsoft Conquers the Gaming Sector and Beyond
On 18 January 2022, Microsoft Corp announced the friendly acquisition of Activision Blizzard Inc. The deal was announced as a full cash transaction worth $67.8B. The transaction is expected to be completed by 30 June 2023. Investment Considerations The cash buyout transaction, which has yet to be approved by US antitrust regulators, has a valueContinue reading “Microsoft Conquers the Gaming Sector and Beyond”
Houlihan Lokey’s Expansion in the Eur-Asian Market with a Focus on the Technology Sector
On October 4th, 2021 Houlihan Lokey acquired 90% of GCA’s common stock through a tender offer. The complete integration of the remaining 10% was finalized on December 6th, 2021. Houlihan Lokey made a c. $12.63 per share bid for GCA, resulting in an overall deal value of $595M. Investment Considerations As stated by Houlihan Lokey’sContinue reading “Houlihan Lokey’s Expansion in the Eur-Asian Market with a Focus on the Technology Sector”
Ericsson’s $6.2bn acquisition of Vonage
On 22 November 2021, Telefonaktiebolaget LM Ericsson announced the proposed acquisition of the totality of Vonage Holdings Corp. The proposed acquisition is set at $21 per share to be paid as all-cash for a total amount of $6.2bn. The closing is expected in the first half of 2022. Vonage and Ericsson Ericsson is a SwedishContinue reading “Ericsson’s $6.2bn acquisition of Vonage”
Warner Bros. Discovery: the new media giant of $96,153m.
On the 17th of May 2021, AT&T Inc. and Discovery, Inc. announced a definitive agreement to combine Warner Media with Discovery to create a standalone global entertainment company. The value of the deal is $96,153m. The transaction would be spun off into a new publicly-traded company known as “Warner Bros. Discovery”. Investment Considerations As stated byContinue reading “Warner Bros. Discovery: the new media giant of $96,153m.”
National Grid’s £14.4bn acquisition of WPD
National Grid PLC announced the acquisition of Western Power Distribution from PPL Corporation on 21 March 2021. The acquisition was announced as a complete cash transaction and was part of National Grid’s long-term clean energy transition path. The transaction was finalised on 14 June 2021, with National Grid acquiring WPD for £14,400 million. Investment ConsiderationsContinue reading “National Grid’s £14.4bn acquisition of WPD”
Auchan’s $19bn acquisition of Carrefour
During spring 2021 Auchan had made a c. EUR 21.5 per share bid for Carrefour. This follows prior reporting that Carrefour has been negotiating with Auchan for potential business combinations, although talks seem to have cooled off. Per subsequent reporting, there were several possible stumbling blocks, including regulation and differences over the pro-forma ownership. InvestmentContinue reading “Auchan’s $19bn acquisition of Carrefour”
Nvidia and Arm: The World’s Premier Computing Company for the Age of AI
INTRODUCTION COVID-19 has been by far the most significant theme affecting the technology industry in 2020 and as global tech companies navigate through the pandemic, they have been steering the wheels of their strategies looking for a spot in the post-pandemic global outlook. In the chaos of the year, several companies in the sector haveContinue reading “Nvidia and Arm: The World’s Premier Computing Company for the Age of AI”
The Strategic Path Of The Italian Fintech Giant
Nexi and Sia have agreed upon an all-share €15bn merger to create an Italian payment giant that can compete at European level. The Italian government played a crucial role in the deal through Cassa Depositi e Prestiti (CDP), the government’s unit to implement public policy mandates and it is nonetheless Nexi’s largest shareholder. Furthermore, thisContinue reading “The Strategic Path Of The Italian Fintech Giant”
The over-night SPAC miracle
As of October 2nd, 2020, there were 2.824 billionaires in the world. The number now lies at 2.825. The reason for that change? A Carnegie Mellon engineer graduate. While growing up, Thomas Healy developed a strong interest in racing cars, bolstered by his fervent admiration for the complex racecar shipping process and for the balletContinue reading “The over-night SPAC miracle”
The impact of the coronavirus outbreak on the M&A Deal Activity
Impact of the virus on the number and conclusion of M&A dealsSince the novel coronavirus (COVID-19) pandemic keeps up its omnipresence in the global news, the M&A market is now plummeting after several years of booming M&A activity. Indeed, this unprecedented crisis caused severe ravages in the stock market and hence drastically impacted corporate shareContinue reading “The impact of the coronavirus outbreak on the M&A Deal Activity”
The birth of a true Apple Watch competitor
Google has struck a $2.1bn deal to buy fitness-tracking pioneer Fitbit, in order to team up to take on Apple’s fast-growing wearable-tech business. Google announced the acquisition in November 2019, and the deal is expected to go through in early 2020 following the Fitbit shareholders’ approval of the third of January. Could this mean we’llContinue reading “The birth of a true Apple Watch competitor”
LVMH’s breakfast at Tiffany’s with the bill of $16.2 billion
LVMH Group will acquire Tiffany & Co, an American jeweler known for engagement rings and white diamond necklaces, for $ 16.2 billion with $135 per share, the biggest deal in luxury industry. About the Buyer: LVMH Moët Hennessy Louis Vuitton The buyer of this deal is LVMH Moët Hennessy Louis Vuitton, the world’s leading high-qualityContinue reading “LVMH’s breakfast at Tiffany’s with the bill of $16.2 billion”
The Birth of a Giant: FCA-PSA merger
Nowadays, it is very challenging and strenuous to be a globally prosperous automaker. For this reason, major players of the sector are trying to merge to maximize shareable costs. Examples of this could the devising new propulsion technologies, such as electric powertrains and competing with tech firms on alternative transportation methods such as connected carsContinue reading “The Birth of a Giant: FCA-PSA merger”
Coca-Cola takes plunge into coffee with 3.9 billion-pound Costa deal
On the 31st of August 2018, Coca-Cola (NYSE:KO) announced that it had reached a definitive agreement to acquire the U.K. Coffee-shop leader Costa for 3.9 billion pounds ($5.1 billion). This brave acquisition is a turning point for both companies. The Coca-Cola Company The buyer is The Coca-Cola Company, one of the biggest beverage companyContinue reading “Coca-Cola takes plunge into coffee with 3.9 billion-pound Costa deal”
Giant deal in the pharmaceutical sector: Bristol-Myers Squibb buys Celgene
Last 6th January, US drug manufacturer Bristol-Myers Squibb (NYSE:BMY) and Celgene Corporation (NASDAQ:CELG) announced that they have entered into a definitive merger agreement under which BMY would have acquired Celgene for an equity value of approximately USD 74bn. The board of the two firms welcome the acquisition which will imply that Bristol-Myers Squibb’s shareholders willContinue reading “Giant deal in the pharmaceutical sector: Bristol-Myers Squibb buys Celgene”
Small investment bank boutiques cash in on mega M&A deals
(On the right side is Simon Warshaw and on the left side is Michael Zaoui) While it’s normal that big name players take mega deals in M&A market, small investment bank boutiques in London have shared a bigger slice of the pie than ever before, and, many times, some of them are beating bigContinue reading “Small investment bank boutiques cash in on mega M&A deals”
Consolidation in the luxury industry: acquisition of Versace by Michael Kors
Authors: Alessandro Babbaro, Riccardo Lizzi Michael Kors Holdings Limited announced the acquisition of Versace for $2.12bn, on September 25th. Upon completion of the deal, which is expected to be during Q4 2019, the group will rebrand as Capri Holdings with combined annual revenues of $6bn. This deal follows the £896m acquisition of Jimmy Choo, datedContinue reading “Consolidation in the luxury industry: acquisition of Versace by Michael Kors”
Bidding War fires up the largest European deal of 2017
On May 15th, 2017 Atlantia has announced its intention to acquire its Spanish competitor, Abertis. Atlantia, Italian toll operator whose main asset is Autostrade per l’Italia, the largest concessionaire on the Italian highway network, is a holding company belonging to the Benetton family. Under the management of its CEO, Giovanni Castellucci, former partner at theContinue reading “Bidding War fires up the largest European deal of 2017”
Johnson & Johnson to Acquire Actelion for $30 Billion With Spin-Out of New R&D Company
Johnson & Johnson (NYSE:JNJ), the world’s largest healthcare holding company, with total registered worldwide sales of $71.89bn in 2016, has unveiled its intention to acquire the Swiss drug-maker Actelion Ltd (SIX:ATLN) with a move that will cost $30bn to the US company. Johnson & Johnson Johnson & Johnson is an American multinational medical devices, pharmaceutical and consumer packagedContinue reading “Johnson & Johnson to Acquire Actelion for $30 Billion With Spin-Out of New R&D Company”
The Power of Sight: Essilor Luxottica Merger
Companies Overview Luxottica: Global leading Italian Company in design, production and distribution of high-technical quality fashion, luxury, sport and performance eyewear with a brand-names portfolio consisting of Ray-Ban, Oakley, Vogue Eyewear, Persol, Oliver Peoples e Alain Mikli. It also includes prestigious licenses as well as brand like Giorgio Armani, Burberry, Bulgari, Chanel, Dolce&Gabbana, Michael Kors,Continue reading “The Power of Sight: Essilor Luxottica Merger”
The Kraft Heinz Co – Deal Report
COMPANY-OVERVIEW The Kraft Heinz Company is an American worldwide food company formed by the merger of Kraft Foods and Heinz in July 2015, backed by 3G Capital and Berkshire Hathaway. The merger has been agreed by the boards of both companies, with approvals by shareholders and regulatory authorities. Alex Behring, 3G Capital’s managing partner,Continue reading “The Kraft Heinz Co – Deal Report”
DELL & EMC -The Path to be Giants- M&A Reports
Computer technology giant Dell Inc. is an American privately owned multinational computer technology company based in Texas, United States. About 70 percent of Dell’s business is still tied to it’s core business of personal computers. Bearing the name of its founder, Michael Dell, the company is one of the largest technological corporations in the world, employing more thanContinue reading “DELL & EMC -The Path to be Giants- M&A Reports”
TMT Consolidation – M&A Specialist
On the 26th of May, news reported that Time Warner Cable will be bought by Charter Communications for $55bn or $195 a share. After the drop out of Comcast from the acquisition, Time Warner Cable have been approached by Charter Communications, which is the third largest cable television provider. The deal shows how consolidation isContinue reading “TMT Consolidation – M&A Specialist”
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The ESCP Finance Society is the oldest and largest student-run Association active in the finance field of ESCP Business School.
The mission of the ESCP Finance Society is to help ESCP students to break into the Finance Industry, organising dedicated networking events and providing useful materials to support the application and interview process.
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Must Read
- Canadian Pacific Kansas City: First Single-Line Rail Network Linking U.S.-Mexico-Canada
Canadian Pacific Railway Limited (TSX: CP, NYSE: CP) (“CP”) and Kansas City Southern (NYSE: KSU) (“KCS”) announced they have entered into a merger agreement, under which CP has agreed to acquire KCS in a stock and cash transaction representing an enterprise value of approximately USD$31 billion, which includes the assumption of $3.8 billion of outstandingContinue reading “Canadian Pacific Kansas City: First Single-Line Rail Network Linking U.S.-Mexico-Canada”
ESCP Finance Society 