Takeovers and Mergers
CHAPTER
1
INTRODUCTION TO TAKEOVERSAND MERGERS |
We have been learning about the companies that come together to form another company and companies taking over other existing companies to extend and expand their business. With the recession taking over toll of the international markets and many Indian businesses and the feeling of insecurity surging over our businessmen, it is not surprising when we get to hear about immense numbers of corporate restructurings taking place all over, especially in the resent past. Several companies have been taken over and several have been undergone internal or external restructuring, whereas certain companies in the same field of business have found it beneficial to merge together into a single firm. Our daily newspapers are filled with cases of takeovers, mergers, tender offers & other form of corporate restructuring. Thus important issues for both business decisions and public policy formation have been raised. The positive side
1
of Takeovers and Mergers is that it is critical for the healthy expansion and growth of the firm. Successful entry into new product and geographical markets may require Takeovers and Mergers at some stage for the growth of the firm. The survival in the international market may depend on capabilities obtained in a timely and efficiently through Takeovers and Mergers. The Takeovers and Mergers increases value and efficiency and move resources to their highest and best uses, thereby increasing the value of the company and the value of its shareholders.
History:-
Mergers and Acquisitions History helps us to understand the evolution of the concepts of Mergers and Acquisitions in the world. If we involve in the detailed analysis of the History of Merger of Acquisitions, we will find that Mergers and Acquisitions started to take place in the world from very early years.
US Mergers and Acquisitions History
In
1
INTRODUCTION TO TAKEOVERSAND MERGERS |
We have been learning about the companies that come together to form another company and companies taking over other existing companies to extend and expand their business. With the recession taking over toll of the international markets and many Indian businesses and the feeling of insecurity surging over our businessmen, it is not surprising when we get to hear about immense numbers of corporate restructurings taking place all over, especially in the resent past. Several companies have been taken over and several have been undergone internal or external restructuring, whereas certain companies in the same field of business have found it beneficial to merge together into a single firm. Our daily newspapers are filled with cases of takeovers, mergers, tender offers & other form of corporate restructuring. Thus important issues for both business decisions and public policy formation have been raised. The positive side
1
of Takeovers and Mergers is that it is critical for the healthy expansion and growth of the firm. Successful entry into new product and geographical markets may require Takeovers and Mergers at some stage for the growth of the firm. The survival in the international market may depend on capabilities obtained in a timely and efficiently through Takeovers and Mergers. The Takeovers and Mergers increases value and efficiency and move resources to their highest and best uses, thereby increasing the value of the company and the value of its shareholders.
History:-
Mergers and Acquisitions History helps us to understand the evolution of the concepts of Mergers and Acquisitions in the world. If we involve in the detailed analysis of the History of Merger of Acquisitions, we will find that Mergers and Acquisitions started to take place in the world from very early years.
US Mergers and Acquisitions History
In