Course Details
Subject {L-T-P / C} : SM6132 : Mergers and Acquisitions { 3-0-0 / 3}
Subject Nature : Theory
Coordinator : Prof. Shigufta Hena Uzma
Syllabus
Basics of Mergers, Acquisitions, Business Valuation: Merger Types, Merger as a Business Strategy, Merger as a Process of Value Creation. Trends in M&A Activity in India and world: Theories of Merger, Searching for Merger Candidates. Valuation in Mergers and Acquisitions: Discounted Cash Flow Approach, Relative Valuation Approach, Asset Based Valuation, Merger Deal Structuring and Merger Due Diligence. Accounting for Mergers: Pooling of Interest Method, Purchase Method, Treatment of Goodwill, Tax Implications of M&A Transactions. Relevant Accounting Standards for Merger Accounting: Leveraged Buyouts (LBO), Management Buyouts (MBO), Takeover Defences. Corporate Restructuring and Divestitures: Cross Border M&A, Post Merger Integration, HR Issues in M&A.
Course Objectives
- To understand the concepts of M&A
- To comprehend how and why due diligence functions in an M&A
- To learn M&A strategies
- To interpret accounting and valuation techniques.
Course Outcomes
The course involves analysis of corporate restructuring strategies including Mergers, Acquisitions and Takeovers, Financial Re-Capitalization, Leveraged Buyouts, Management Buyouts, Going Private, and Reorganization under Bankruptcy
Essential Reading
- Sudarsanam, S., Value Creation from Mergers and Acquisitions, Pearson Education.
- Boeh, K. K. & Beamish, P. W, Mergers and Acquisitions: Text and Cases., Sage Publications.
Supplementary Reading
- Gaughan, P. A., Mergers, Acquisitions, and Corporate Restructurings (6thed.)., Wiley
- Damodaran, A, ). Corporate Finance- Theory and Practice, John Wiley