Nina's Fashions Case Study
There are 7 vital parts to completing this comprehensive analysis of whether Nina’s Fashions and their management should acquire the Chic Company.
1) Gather information regarding mergers and present it to Nina’s board of directors.
2) Discuss reasons and factors justifying mergers, including their benefits to society and each company.
3) Discuss the Pro’s and Con’s of a hostile versus friendly mergers, along with some data on how shareholders from each side have fared in past mergers.
4) Do a sensitivity analysis of all data that was estimated and used in the merger analysis.
5) How to start negotiations, the beginning offer, and the max price per share.
6) Try to justify buying Chic …show more content…
How to start negotiations, the beginning offer, and the max price per share.
For this particular case I would advise a friendly merger. There are way too many things that could take this deal south if