Nicholson File Company Takeover
Issues to Address
Is Nicholson a good strategic fit with Cooper?
What is Nicholson worth to Cooper?
What is the correct bid?
Strategic Fit: Excellent!
Cooper management understands Nicholsons operations
Broaden Coopers po
Discounted Cashflow Analysis
Capital Budgeting Knowledge Good, but Not Enough
Need Generality for Restructuring
To be logically understood not memorized
Part I: Why DCF?
Accounting numbers vs. cash flow (alternatives are problematic)
Flexibility (easy t
Structuring acquisition transactions
Mergers, tender offers and proxy fights
Pros and cons
Tax and accounting treatments
Means of payment - cash vs. stock swaps
Ways to acquire firms.
FBE 460 Mergers, Aquisitions and Restructuring
University of Southern California Marshall School of Business
Los Angeles, CA