PEP. AKHIR SEMESTER 2009 CADANGAN SOALAN MAF 620 – CORPORATE FINANCE Question 1 Consider the following information about two securities: State of Economy Probability Return on Lotek (%) Return on Hitek (%) Recession 0.2 10 50 Normal 0.5 15 20 Expansion 0.3 25 –10 REQUIRED: a. Determine the expected return and standard deviation of each security. (8 marks) b. Suppose you could invest in only one security. Which would
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offer? Day has to think in terms of maximizing shareholder value. Day should reject the offer and here is why USG has been a takeover target in the past driven by its steady cash flow‚ low operating costs‚ strong market share and thought to be undervalued by many analysts. Any take over is possible for the right price if at all rejecting the takeover bid will strengthen USG’s negotiation strategy and encourage the tendering company to increase their price. The bid was considered to
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motives and financial position of the other bidders influence your offer? How would the way in which you finance the takeover of Gulf influence the way you would run Gulf after the takeover? You may wish to focus on Substantive Issues Pedagogical Objectives Analysis – Did Gulf’s exploration effort add to shareholder value? What are the gains to Gulf shareholders from the takeover bid?
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Mergers and Acquisitions Broc Romanek and Cynthia M. Krus FINANCE 05.09 I Fast track route to mastering mergers and acquisitions I Covers the key areas of M&A‚ from detailing how to structure different types of transactions to meet varying objectives to the history of M&A activity and the impact of the Internet and other new technologies I Examples and lessons from some of the world’s most successful businesses‚ including Daimler-Chrysler‚ Vodaphone-Mannesman and UFJ Bank I Includes a
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Introduction With the accelerated internationalization‚ a great number of strategies and tactics are adopted by either multinational companies or regional firms in order to obtain global market shares as much as possible. Mergers and Acquisitions (M&A) are one of methods for a corporation to grow and expand its global business. Globally‚ the value of M&A increased by 19%‚ up to USD 2.25 trillion in 2010‚ with amount of USD378 billion contributed by the emerging markets contributed. (http://www
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INTRODUCTION Corporate governance is the framework of rules and practices by which a board of directors ensures accountability‚ fairness‚ and transparency in a company ’s relationship with its all stakeholders (financiers‚ customers‚ management‚ employees‚ government‚ and the community). The corporate governance framework consists of (1) explicit and implicit contracts between the company and the stakeholders for distribution of responsibilities‚ rights‚ and rewards‚ (2) procedures for reconciling
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Hough‚ A. and Trotman‚ A. (2011) Phone hacking: timeline of News Corp ’s failed BSkyB bid. Telegraph‚ [online] 21 July 2011. Available at: http://www.telegraph.co.uk/news/uknews/phone-hacking/8650113/Phone-hacking-timeline-of-News-Corps-failed-BSkyB-takeover-bid.html (accessed 17 November 2011). * Kotler‚ P.‚ Armstrong‚ G.‚ Saunders‚ J. And Wong‚ V. (2005) Principles of Marketing. 4th ed. Harlow: Financial Times Prentice Hall. * Manchester Evening News (2010) Sky Television: A History [online]. Available
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1. WHY IS PARAMOUNT A TAKEOVER TARGET? Paramount is a potential merger target to Viacom and QVC for a few key reasons outlined below: Paramount & Viacom: (1) Synergy creation: The businesses of both companies are famous and highly complementary to each other. (2) Cost reduction: Paramount & Viacom both have economies of scale and are doing business in a similar industry. (3) Addition of enhanced and complementary distribution capabilities‚ which will significantly increase revenue. (4)
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mergers&takeovers: financial background In our presentation we’re going to tell you about the takeover of 1 big confectionery company. Leader in the confectionery market. We won’t tell you‚ which company it is but we’ll show you its’ product instead. Suppositions? NEWS: Cadbury VS Kraft Foods What happened to Cadbury and who was it taken over by??? After months of negotiations‚ Kraft (KFT) announced in 2010 that it would acquire U.K. сonfection giant Cadbury. The takeover bid was
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extension • Fairtrade • Nostalgia • Hostile takeover (8 marks) CIM PROFESSIONAL CERTIFICATE IN MARKETING ASSESSING THE MARKETING ENVIRONMENT CASE STUDY: Cadbury MOCK EXAM FOR THE DECEMBER 2010 PAPER Part A – Answer All Tasks (40%) It is recommended you spend approximately ONE hour on Part A Task One Define the following terms and briefly explain their significance to Cadbury • Brand extension • Fairtrade • Nostalgia • Hostile takeover (8 marks) Task Two Outline TWO key social developments
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