To: Acquisition Team
From: Adriana Pinzón – Consulting Team
CC: James Biteman - CEO
Date: 27-09-2010
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Subject: Recommendations about the acquisition of Sanford Corporation.
Bearing in mind our philosophy or “profit growth by acquisitions”, I would like to recommend to the Acquisition team the evaluation of Sanford Corporation for purchase, for the following reasons:
Even though it is a $600 Million acquisition, the most profitable company we have ever consider as a takeover target, it is a company with a very well establish reputation of good management , that can be easily adapted to our business model . Despite having a good management, they have less than ten people …show more content…
How might strategic issues change the results of an analysis based strictly on costs?
Considering our strategy to expand the company, which consist on developing useful and well made products, that people can use everyday, my recommendations about the mentioned acquisitions are the following ones:
* Recently Newell’s entered to the office products line with two small acquisitions, identifying the potential growth of this market. According to this, acquiring Sanford Corporation represents an opportunity to improve our position on the market and reducing the number of our existing …show more content…
This company needs a Newellization process, focusing on operational efficiency and profitability to raise the level of service, quality and speed of delivery. In spite of the present situation of Levolor, where a significant investment in the company is required, I recommend this acquisition option because in terms of the company price is a good deal that also complements our product portfolio, implanting a sales crossed scheme through the commercialization channel complementing our present