Mergers and acquisitions

Definition, Legal nature, types and the Effects of Mergers 1.1 Definition Merger is a combination of two existing companies to form one company. That is, it is the transfer of undertaking and liabilities from one company to another company. According to Marof , Chiplin and Wright , they have all defined merger as a combination of the assets and liabilities of two firms to form a single business entity. Under the Kenyan companies Act, mergers has been defined as either a transfer of…

has to offer the company Church & Dwight. Alternatives and Recommendations Currently, Church & Dwight uses the acquisition strategy. Wheelen, Hunger, Hoffman, and Bamford (2015) define acquisition as “the purchase of a company that is completely absorbed by the acquiring company” (pg.193). The acquisition strategy has gotten the company to where it is today, but can the acquisition strategy carry this company into a flourishing international market? John Manzella (1996) says this: Through…

More formal strategic alliances would include vertical and horizontal growth/consolidation through mergers and acquisitions. In health care, providers often enter into strategic alliances not only for the benefit of the partners but also for the wellbeing of patients and communities. However, strategic alliances such as mergers, acquisitions and…

This acquisition will boost PepsiCo’s annual global revenue from nutritious and functional foods to almost $13 billion from approximately $10 billion. I think a focused differentiation strategy would work best. In this situation, they have a narrow market niche…

the idea that by merging with another organization with complementary strengths and weaknesses, businesses can increase efficiency, productivity and profitability. Competition: Many mergers usually allow the acquiring organisation to remove competition and again, expand their market share. The Impacts The acquisition of Wesfarmers Insurance Underwriting by IAG in mid-2014 highlights how consolidation can impact customers both positively and negatively. The most obvious and…

CEMEX’s Globalization benefits and Cross-border activities adding value to Cement industry CEMEX operates in the ‘not so export friendly’ globally concentrated cement industry, so, global expansion was an obvious choice for cement industry seeking geographic diversification. Globalization offered CEMEX and other Cement manufactures to enjoy various benefits such as i) empire building and growth via stabilized revenues, also benefiting from the arbitrage prices and economies of scale ii) export…

PepsiCo has set goals in four key areas: performance, human sustainability, environmental sustainability and talent sustainability. Performance - to all their investors, it is a promise to strive to deliver superior, sustainable financial performance. Human sustainability - to the people of the world, it is a promise to encourage people to live healthier by offering a portfolio of both enjoyable and healthier foods and beverages. Environmental sustainability - to the planet we all share, it is a…

reasonably achieve a desired or otherwise declared objective, alternative means to gain such expertise, as well as their acquisition costs, become viable options to consider. In fact, in the private sector, this is where merger and acquisition activities become a legitimate route to gain those skills or specialties deemed too arduous to develop in a reasonable timeframe. Radiation’s acquisition of Harris is a wonderful example of one organization seeking specific technology to innovate its…

Introduction This report is analyzing Marriott International’ merger with Starwood hotels, going through an evaluation of different levels of strategy. Merging is the combination of one or two companies or other business entities into one single entity, to achieve a greater efficiency of scale and productivity. Mergers and acquisitions are usually done to expand a company’s reach, add new segments, or gain more market share. Marriott International is a huge global lodging company, established…

CONGLOMERATE Conglomerate integration occasionally also comes up in form of merger, acquisition or takeover. It involves the coming together of two or more companies in different industries, i.e. the business not related with each other or sometimes not within same industry. The integration defers to that of horizontally (producing the same or competing products) nor vertically (standing towards each other in the relationship of supplier and buyer or potential supplier and buyer) but possibly…