Roadblocks galore
Gone are the days when Ram Prasad Goenka and Manu Chhabria bought anything and everything under the sun, regardless of whether an acquisition resulted in an increase in shareholder value.
Editorial -- Agenda for FIs
Financial Institutions (FIs) are the real spokes in the M&A wheel. Holding debt and equity across companies in a sector, they create conflict of interests and do not play ball when it comes to strategic sale of businesses.
Doing M&A deals diligently
Due diligence is a vital ingredient of M&A deals and is generally used for validating underlying deal assumptions. Says Partha Ghosh, partner in the Mumbai-based PricewaterhouseCoopers.
Taxing M&A issues
M&A deals tax-neutral provided certain conditions are fulfiled. What is this tax-neutrality all about? As long as a company acquires substantially the same ownership of assets from the seller, there should be no tax incidence.
Agenda for M&A taxation
Clarify that only those assets and liabilities which are exclusively identifiable with a business need to be transferred to the acquirer.
Creating an M&A-friendly Indian
Mergers and acquisitions (M&A) are getting more frequent and bigger by the day. Driven by the desire for economical sizes and core competence, scores of companies are looking at M&A as one sure way to attain corporate nirvana.
Option pricing road to M&A
Acquistion of a business is a strategic business decision. Business decisions with strategic intent need to be evaluated on the basis of opportunities they create.
Reform M&A financing
Financing Indian M&As needs a new orientation. It is high time the Reserve Bank of India (RBI) realises that absence of bank lending for corporate takeovers is seriously hampering the growth of Indian M&A activity.
A ring fenced with firewalls is critical in closing a deal
Since M&A deals are driven by change in mindsets, there could be last minute blues. You need to have a strong team of legal and tax experts.
Open offers are not bad
The long-drawn open offer process acts as a hindrance to acquisitions. It takes in all 132 days and until then the target company cannot be taken over.