The Complexity of Compromise

Feldman, Lee S.; Murphy, T. J.
August 2009
Mergers & Acquisitions Report;8/10/2009, Vol. 22 Issue 32, p8
The article considers the measures taken by buyers and sellers to remedy the downward pressure on valuations in the U.S. Buyers and sellers are said to be taking their time in exploring transaction structures that can help bridge the valuation gap. In describing a typical agreement, the sellers are expected to rollover an amount of equity and receiving a subordinated security. According to the author, funds should be centered on the effects of investments on their loan agreements.


Related Articles

  • Changes in stock valuation basis again.  // Accountancy;Feb1979, Vol. 90 Issue 1026, p28 

    Reports the change of stock valuation basis to South African subsidiaries by McKechnie Brothers Limited for consolidation purposes. Security of tax benefits based on the available stock relief provision; Reinstatement of FIFO as basis for valuation of tax during valuation; Increase of stock...

  • Volume & Value for U.S. M&A.  // Mergers & Acquisitions Report;9/12/2005, Vol. 18 Issue 34, p1 

    Presents data on the volume and value of merger and acquisition transactions in the U.S. for the period between August 16 to September 9, 2005.

  • Sell, lease or hold? Bonney, Joseph // Journal of Commerce (1542-3867);5/21/2007, Vol. 8 Issue 20, p6 

    The author shares his views on the valuation of U.S. container terminals. There has been a surge in acquisitions of terminal operations in 2007, as investment bankers discovered profits in the terminal business. He notes that the supply-demand equation presents a problem for the public agencies...

  • Federated Investors FII. Barnard, Rachel // Morningstar StockInvestor;12/15/2006, Vol. 6 Issue 6, p27 

    The article presents an investment analysis for Federated Investors, a company providing asset management and related financial services. It identifies the company's source of revenue and economic moat. It discusses the challenges faced by Federated: rising interest rates and weak performance of...

  • Foreign Lenders Expected To See Uptick.  // Mergers & Acquisitions Report;12/17/2007, Vol. 20 Issue 48, p1 

    The article reports that foreign lenders are expected to increase their transactions as foreign investors in the U.S. prefer their services in acquisition deals. Moreover, 21% of U.S. transactions were completed by foreign buyers which preferred their local lending sources. With foreign lenders...

  • M&A.  // Investment Dealers' Digest;10/18/2004, Vol. 70 Issue 40, p21 

    Presents charts depicting merger and acquisitions in the U.S. as of October 2004.

  • Alternative financing can be a deal-maker.  // Buffalo Law Journal;10/8/2009, Vol. 81 Issue 81, p1A 

    The article discusses several alternative financing strategies employed by buyers and sellers in response to tough bank lending. It notes that the seller notes is the leading alternative financing, where a seller provides fund to the buyer to finance a portion of the purchase price. Another is...

  • Suggestions for buying or selling a community bank. Smith, Phillip K. // North Western Financial Review;5/15/2013, Vol. 198 Issue 10, p6 

    The article recommends suggestions for the banking industry to be considered while acquiring or consolidating any community bank. It mentions several common mistakes often made by sellers and buyers of community banks which includes neglecting the involvement of board of directors in financial...

  • Throwing Darts. Fugazy, Danielle // Mergers & Acquisitions Report;11/2/2009, Vol. 22 Issue 44, p1 

    The article reports on valuations of companies in the merger and acquisition (M&A) sector. It is noted that the market approach of assessing the value of a company has not been used because of the lack of deals and comparable sales. Another factor that makes valuation hard is subpar businesses...


Read the Article


Sorry, but this item is not currently available from your library.

Try another library?
Sign out of this library

Other Topics