Create a business case for CTC

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Reference no: EM132228349 , Length: word count:800

Financial Associate Analyst Case Study -

Assuming that Leon's Furniture Ltd. was willing to accept an offer of $1.6B cash to be acquired by CTC (funded with cash on hand/debt issuance), please create the following:

  • Executive Summary explaining final recommendation/results.
  • Description of the approach and rationale used to support your final recommendation/result.

Please make sure you highlight the following in your submission:

A. Create a business case for CTC to acquire Leon's

  • Take into account the provided information of both Leon's and Canadian Tire's financials, as well as any qualitative research you can find online.
  • If you require more data than what is provided, you may refer to the annual financial reports of both companies for more information. They are available on the Investor Relations page of the corporate websites.
  • If you find discrepancies or ambiguity in the information provided to you, you can state your assumptions and work through the case based on your assumptions.

B. Would you advise the CTC board to go ahead with this acquisition, or save their capital for other growth opportunities?

  • How would this integrate into CTC when taking into account CTC's strategy?
  • What would be the possible benefits and risks of this transaction?

Please see the accompanying financial information provided for both Canadian Tire and Leon's Furniture Ltd.

Attachment:- Assignment Files.rar

Reference no: EM132228349

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len2228349

2/5/2019 8:59:27 PM

Instructions: 3 pages (800 words) write-up needed. Please see the accompanying financial information provided for both Canadian Tire and Leon’s Furniture Ltd. NOTE: If selected to attend the final interview you will be asked to prepare a presentation of your findings. It is NOT required for you to send a presentation at this time.

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