A Study on the failure of some M&A Deals: Why did they failed? / Chloé Ornella DJADEU KWEKAM / 2021

Titre : A Study on the failure of some M&A Deals: Why did they failed? Type de document : Mémoire Auteurs : Chloé Ornella DJADEU KWEKAM, Auteur Année de publication : 2021 Importance : 42 p. Note générale : Pour accéder aux fichiers PDF, merci de vous identifier sur le catalogue avec votre compte Office 365 via le bouton CONNEXION en haut de page. Langues : Anglais (eng) Mots-clés : Management FUSION ACQUISITION ; RISQUE Entreprise EBAY ; SKYPE ; DAIMLER Résumé : According to Sampford advisors, 36% of transactions fail very early before the transaction is completed. According to investment bankers this is related to many reasons such as the lack of alignment on the price between the buyer and the seller accounting for 40% of the different factors of abandonment. Reasons such as lack of financing or lack of cash flow or the uncertain economic environment were also cited. And many other reasons. (Bryant, 2016) The constant and growing practice of M&A is linked to the race for profit and the optimization of shareholder value promoted in the foreground by companies. And this race has had an impact on the strategy and financial policy of companies that have constantly increased their debt capacity and therefore the financial risks associated with it. It is important to understand why failure cases are so high, as this could be indirectly linked to financial crises. In addition, M&A are part of the life of many companies in all sectors, so it is important not to repeat previous mistakes but to learn from previous mistakes by optimizing the process of M&A operations and thus reduce the failure rate of these. $2 8363 billion represents all M&A transactions that were carried out in 2020, so it is essential to look at this study. By analyzing the criteria of failure of certain deals that have marked the last years we can contribute to a better process of future deals according to the context of each one. We will therefore look at the study of 4 cases of M&A during the last 20 years from 1998, of which 2 failed after the conclusion of the transaction and 2 failed before the conclusion of the transaction. The aim is to understand some factors that can led to the failure of these various operations, however singular they may be. And therefore answer to the research question: Why did some M&A deals flop before or after the conclusion ? In addition, it will be a question of understanding whether these factors are internal or external to the transaction. Programme : MSc Corporate Finance Permalink : https://cataloguelibrary.neoma-bs.fr/index.php?lvl=notice_display&id=538524