Publisher's Synopsis
Disney has done it. Chemical Bank has also. So, too, have thousandsof other companies. In fact, it has become a staple of Americanbusiness today: mergers and acquisitions. Spreading across allindustry lines and encompassing corporations both large and small,merger and acquisition deals are booming. In 1995 alone, the valueof all announced deals exceeded $300 billion, including Disney's$19 billion acquisition of Capital Cities and Chemical Bank's $10billion merger with Chase Manhattan.
As a dynamic means of fostering growth, more and more companieswill be looking to "do the deal," making it essential for corporatemanagers and financial officers to know their way around theM&A process. In this authoritative new reference, JeffreyHooke-a specialist in the field who has participated in 70corporate finance transactions-provides a practical, comprehensive,and well-rounded overview to the ins and outs of M&Adeals.
Using real-life examples, Hooke takes you step by step through theM&A process, outlining the fundamental principles that underliedeals and pinpointing the important strategies that play key rolesin successful transactions. The first step is developing adisciplined acquisition plan that includes a researched assessmentof management readiness and financial capability. With yourfinances in order, it's time to find the deal that matches yourcompany's objectives. Hooke shows you how to initiate anacquisition search by starting your own program, screeningcandidates, and implementing direct contact; and when you're readyto price and close a deal, Hooke's proven valuation and negotiatingstrategies will have you on firm footing.
An invaluable primer for corporate executives and investmentprofessionals involved in the mergers and acquisitions process,M&A is the most complete guide available today. M&A givesyou the A to Z on:
* Key risks that face corporate acquirers-operating issues, thedanger of overpayment, financial leverage concerns
* Valuation tools-using the intrinsic value approach and applyingthe relative value method such as comparable P/E and EBITratios
* Buyer categories-Window Shopper, Bottom Fisher, StrategicBuyer
* Maximum deal size guidelines-affordability, managementexperience, corporate risk tolerance
* The basics of negotiating and structuring-letter of intent (LOI),due diligence investigation, closing and postmergerintegration
* Selling a business-retaining a financial advisor, approaching themarket, confirming a valuation range
A savvy guide to mastering the art of M&A
From an expert in the M&A field comes a one-of-a-kind book thattakes business executives and investment professionals through thecomplete mergers and acquisitions process.
"Jeffrey Hooke has done a fine job explaining the 'ins and outs' ofa very complex business. He knows what he's talking about."-John C.Whitehead, former Co-Chairman, Goldman, Sachs & Co.
"M&A takes the fear out of the decision-making process-a greatpragmatic tool. Hooke has given us a fine 'how-to' manual."-KennethTuchman, Managing Director, Lehman Brothers, Inc.
"Hooke's basic outline of the dynamics involved provide a basicoverview for both corporate executives and business students. Hisexamples-real transactions coupled with the practicalities andlegalities of the deal business-make for informative and enjoyablereading."-Gilbert W. Harrison, Chairman, Financo, Inc.
"Jeffrey Hooke has written a first-class primer on the science andart of mergers and acquisitions. This book will be a standard forboth students and practitioners in the field."-Glenn H. Hutchins,Senior Managing Director, The Blackstone Group
