Some of the implications of overpaying for acquired compay

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Some of the implications of overpaying for an acquired company are when stock prices are affected. If a company chooses to make a deal and stock prices are declined, that usually is a hint that a company overpaid to close a deal. If a company finds themselves in a position that the deal is being prolonged and the amount is drastically surpassing what initial their goal amount is usually a sign that the company is overpaying.

Yes stock price decline is certainly one implication and it happens often. Can you think of any others?

Reference no: EM131351826

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Some of the implications of overpaying for acquired compay : Some of the implications of overpaying for an acquired company are when stock prices are affected. If a company chooses to make a deal and stock prices are declined, that usually is a hint that a company overpaid to close a deal. If a company finds t..

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