AFMP4

Syllabus C1. Acquisitions And Mergers Versus Other Growth Strategies 1 / 3

a) Discuss the arguments for and against the use of acquisitions and mergers as a method of corporate expansion.

b) Evaluate the corporate and competitive nature of a given acquisition proposal.

c) Advise upon the criteria for choosing an appropriate target for acquisition.

d) Compare the various explanations for the high failure rate of acquisitions in enhancing shareholder value.

e) Evaluate, from a given context, the potential for synergy separately classified as:
i) Revenue synergy
ii) Cost synergy
iii) Financial synergy.

f) Evaluate the use of the reverse takeover as a method of acquisition and as a way of obtaining a stock market listing.
Acquisitions And Mergers Versus Other Growth Strategies