Define in brief about cash and share exchange, Financial Management

Assignment Help:

Define the both cash and share exchange

Generally both cash and share exchange are used to make the offer more attractive. Other forms of consideration include:

Paper consideration can be in form of debt, loan stock andpreference shares. This would mean predator company issues these marketable securities in exchange for Target Company to sell their shares. Predator Company has to consider the impact on gearing and financial risk. Target Company's preference on this would rely on the fact if securities are attractive and how frequently they are traded on stock market (how liquid they are).

 


Related Discussions:- Define in brief about cash and share exchange

Adjustment of prepaid insurance, Accountants should not reverse the adjustm...

Accountants should not reverse the adjustment of prepaid insurance to recognize insurance expense at the end of the accounting period because: Answer a. . doing so results in

Objectives of cash management, Q. Objectives of Cash Management? (i) To...

Q. Objectives of Cash Management? (i) To sustain Optimum Cash Balance: - The major objective of cash management is to determine the optimum cash balance required in the busines

Break even period, It is also important to compare the returns from t...

It is also important to compare the returns from the equity stock and the bond to determine the profitability of both investments. We have seen above that the div

Determine the economic viability, The purpose of this financial analysis is...

The purpose of this financial analysis is to determine the economic viability during the last five years of the Lance Company and to advise our client on whether the acquisition of

Capital raising, how can covered bond affect other secutites price

how can covered bond affect other secutites price

Define swap broker, Define Swap Broker A swap broker arranges a swap am...

Define Swap Broker A swap broker arranges a swap among two counterparties for a fee with no taking a risk position in the swap.

What is the modigliani-miller''s irrelevance hypothesis, What is the Modigl...

What is the Modigliani-Miller's irrelevance hypothesis in dividend decision making? Critically evaluate its assumption.

Step by step approach to completing a statement, Step by step approach to ...

Step by step approach to completing a statement of cash flows Step by step approach to completing a statement of cash flows Step 1

Calculate the interest value , 1. Suppose a firm's tax rate is 35%. What af...

1. Suppose a firm's tax rate is 35%. What affect would a $10 million operating expense have on this year's earnings?  What effect would it have on next year's earnings? 2. What

Illustrate about the financial management, Illustrate about the Financial M...

Illustrate about the Financial Management Individual businesses face problems dealing with acquisition of funds to carry on their activities and with determination ofoptimum

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd