Mergers and Acquisitions
Mergers and Acquisitions, “big boys” strategic games in action, will examine the processes involve and techniques apply in conducting due diligence in unique quantitative and qualitative perspectives encompassing wide range of areas from acquisition search to complex specialist valuations to negotiating deal. Accordingly, merger or acquisition team becomes the advisory role to senior management and board in strategic decision making.
This course is designed to study another approach in strategy making to enhance corporate growth, merger and acquisitions. Students will be introduced the deeper dimension of due diligence in merger consideration, in particular, the system of quantitative and qualitative analyses, valuation of the company, making deal design, and negotiating and communicating the deal with different parties. Develop analytical frameworks and perform analyses on the strengths and weaknesses of the parties involved in merger and the expected increase in shareholders’ value. Learn various methods in asset valuation to form merger value. Study rationales of merger from the results of due diligence. Learn the management communication system to the board on recommending merger.
Syllabus
- Does M&A Pay?
- M&A Activity
- Cross-Border M&A
- Strategy and the Uses of M&A to Grow or Restructure the Firm
- Acquisition Search and Deal Origination: Some Guiding Principles
- Due Diligence
- Valuing Firms
- Valuing Options
- Valuing Synergies
- Valuing the Firm across Borders
- Valuing the Highly Levered Firm, Assessing the Highly Levered Transaction
- Real Options and Their Impact on M&A
- Valuing Liquidity and Control
- Financial Accounting for Mergers and Acquisitions
- Momentum Acquisition Strategies: An Illustration of Why Value Creation Is the Best Financial Criterion
- An Introduction to Deal Design in M&A
- How a Negotiated Deal Takes Place
- Negotiating the Deal
- Communicating the Deal: Gaining Mandates, Approvals, and Support
On successful completion of this course, the student will be able to:
- demonstrate a critical awareness and understanding of Mergers and Acquisitions at the master's level that provides a basis for developing and/or applying new ideas, often within a research context.
- apply knowledge, critical understanding, and problem-solving abilities in new or unfamiliar environments within broader (or multidisciplinary) contexts related to their field of study (Mergers and Acquisitions)
- assimilate knowledge and formulate opinions with incomplete or limited information, but that include a reflection on social and ethical responsibilities.
- communicate their assumptions, and knowledge regarding Mergers and Acquisitions and the rationale underpinning these, to specialist and non-specialist audiences clearly and unambiguously.
- use the acquired skills to allow them to continue to study in a manner that may be largely self-directed and autonomous.
- integrate knowledge from other courses of the master program and practical business and formulate critical judgments with incomplete data.
The course is offered as self-study in e-learning. The learning material is provided in the form of lectures, literature, and lecture notes. Independent learning is required. In the case of paper submissions, further research is expected in compliance with the given scientific standard. LIVE course sessions are offered to support the students with questions regarding the content. Students are supported in their scientific work by corresponding online seminars.
All lectures and learning materials are made available in the online campus GHU Campus. All lectures are recorded and are available for download 24/7. The lecture notes, as well as additional material provided by the lecturer, can also be accessed in the GHU Campus.
Documents for exam preparation consisting of lectures and lecture notes. Additional material provided by the lecturer serves as independent files and can be used to work on the exams. The examination comprises theory questions, reflection, and case study and is intended to confirm all learning objectives.
The assessment consists of a 5000-word Mergers and Acquisitions essay and assesses all learning outcomes. As a master-level assignment, the essay requires a command of a complex and specialized area of knowledge and skills. This implies that, in addition to demonstrating a sound grasp of the ideas and concepts relevant to the topic of theessay, students will show that they can evaluate aspects such as conventions of approaches, their internal consistency, relevance, and applicability, as well as strengths and weaknesses.
To reach an assessment, students will consider competing approaches and draw on critiques put forward in scholarly literature. The position adopted in the assignment and any claims made must be based on a careful, coherent, and logical arguments, need to be appropriately supported with evidence from relevant scholarly sources, and should be presented in a coherent piece of writing. Sources must be referenced appropriately in-text and in a quote/reference list as set out in the GHU Referencing Guidelines.