Mergers and Acquisitions - BUSI97017
Aims
Module Description
The module is designed to introduce students to many of the issues and challenges that arise in the M & A process and enable students to learn how to make a takeover bid or defend against one. Students will learn how to develop a takeover strategy consistent with the firm’s corporate strategy, search for and identify potential targets, value them and launch a friendly or hostile bid for the preferred target. They will also learn how to prepare the case for the bid and how to ‘sell’ it to the board and to other outside constituencies. Students representing targets similarly will learn how to prepare the case for defence against an unwanted bid and how to ‘sell’ their case to the target board and other outside constituencies. Learning is from intensive background reading, class discussion of case studies and ‘hands-on’ experience of participating in the simulated takeover negotiation game.
This module requires that you apply the basic accounting and financial valuation techniques which you must have gained from your core module . It also requires that you be comfortable with analysis of numerical data in the case studies. To get the best out of this module you must allow enough time while preparing for discussion of case studies/ the acquisition game to understand the numerical data and analyses included in the cases.
Module Objectives
The module is designed to introduce students to the issues raised by corporate mergers and acquisitions. The subject is one that calls on the services of many professionals including company executives involved in the initial search and screening of candidates, investment bankers and stockbrokers who may advise on bid tactics, dealing with City regulations and raising finance, corporate lawyers who deal with the documentation and who may present a case if the bid is referred to the anti-trust regulators and PR consultants who may advise on lobbying various parties and presenting the case for or against the proposed merger to shareholders. The module integrates knowledge gained earlier in the MBA programme in areas such as accounting & finance, strategic management and organisational behaviour.
The primary pedagogic tool of this module is the acquisition game covering evaluation of the strategic fit between bidder and target, valuation, devising the appropriate deal structure and negotiation and an auction. The game requires team-based negotiation between target management and actual / potential bidders. It provides a feel for real-time M & A issues and requires hands-on application of a range of skills – strategic and financial evaluation, ability to work in and interact with groups, negotiation of complex issues etc.
The module should be of particular interest to students who wish to pursue a career as professional M & A / corporate finance advisers as well as to those who are likely to be involved with acquisitions in implementing corporate strategy.
Role
Course Leader
Advanced Corporate Finance - BUSI96035
Aims
Module Description
This module covers corporate financial decision-making. Specifically, we will provide an overview of corporate financial policy, and we will then address financial forecasting, financing decisions, corporate investment decisions and valuation, and mergers and acquisitions.
Role
Course Leader