Student
-3:
Case Discussion: Ducati & Texas Pacific Group, HBS 9-801-359
Course Outline
It will be helpful if you think about these questions before our Ducati discussion:
1. On a scale from 0 to 10, with 0 representing the prototypical financial buyer transaction, and 10 representing the prototypical strategic buyer transaction, where would you place this deal? Why?
2. To value the 51% of Ducati that TPG is contemplating acquiring, outline the steps you would take. It is optional to actually complete the valuation. More importantly, describe
– each step you would need to take in the valuation process
– what data you would need to complete that step
– What data in the case is available that is needed (referring to Exhibit numbers / pages) 3. How much should TPG be willing to bid? How does this relate to your answers in questions 1 and 2?
Weeks 4-6:
M&A Valuation: Theoretical frameworks, historical and international perspective, current trends, participants, deal taxonomies, wealth effects
Case discussion: HP-Compaq Merger, UV3981
It will be helpful if you think about these questions before our HP-Compaq discussion:
Case Part A:
1. What would a Strength Weakness Opportunities Threats (SWOT) analysis reveal?
2. Was the merger strategy sound?
3. What is the value of the projected synergies?
4. What is the appropriate valuation range for Compaq?
Case Part B:
1. Complete a social-issues scorecard on this deal. Is this a true merger of equals? Does one side seem to emerge with more power than the other?
2. Given the acquisition premium, how dependent is HP on the expected synergies for this deal to be economically attractive to HP shareholders?
3. Assess the appropriateness of the exchange ratio proposed in this deal. In terms of relative contributions of the two firms, is the exchange ratio fair to HP shareholders?
4. Consider the entire set of terms: Is this a good deal? For whom?
5. How should Kathryn Macalester vote her shares?
Weeks 7-9:
Case Discussion: Ducati & Texas Pacific Group, HBS 9-801-359
Course Outline
It will be helpful if you think about these questions before our Ducati discussion:
1. On a scale from 0 to 10, with 0 representing the prototypical financial buyer transaction, and 10 representing the prototypical strategic buyer transaction, where would you place this deal? Why?
2. To value the 51% of Ducati that TPG is contemplating acquiring, outline the steps you would take. It is optional to actually complete the valuation. More importantly, describe
– each step you would need to take in the valuation process
– what data you would need to complete that step
– What data in the case is available that is needed (referring to Exhibit numbers / pages) 3. How much should TPG be willing to bid? How does this relate to your answers in questions 1 and 2?
Weeks 4-6:
M&A Valuation: Theoretical frameworks, historical and international perspective, current trends, participants, deal taxonomies, wealth effects
Case discussion: HP-Compaq Merger, UV3981
It will be helpful if you think about these questions before our HP-Compaq discussion:
Case Part A:
1. What would a Strength Weakness Opportunities Threats (SWOT) analysis reveal?
2. Was the merger strategy sound?
3. What is the value of the projected synergies?
4. What is the appropriate valuation range for Compaq?
Case Part B:
1. Complete a social-issues scorecard on this deal. Is this a true merger of equals? Does one side seem to emerge with more power than the other?
2. Given the acquisition premium, how dependent is HP on the expected synergies for this deal to be economically attractive to HP shareholders?
3. Assess the appropriateness of the exchange ratio proposed in this deal. In terms of relative contributions of the two firms, is the exchange ratio fair to HP shareholders?
4. Consider the entire set of terms: Is this a good deal? For whom?
5. How should Kathryn Macalester vote her shares?
Weeks 7-9: