Mergers and Acquisitions (ECFS842)

This unit will only be offered in Beijing in 2018.

This unit builds on the introduction to mergers and acquisitions in Corporate Finance (ECFS866) including discussion of current trends, valuation techniques, and regulations on corporate control. Statutory rules and market techniques for takeover bids, mergers, schemes of arrangement and other types of corporate restructuring are covered. Other topics include the impact of trade practices and anti-trust regulations, foreign investment regulations, regulations to restrict shareholding levels, accounting for goodwill, due diligence, and post-merger integration and corporate performance. The unit includes a comparative analysis of regulations in Australia and a number of offshore markets.

Learning Outcomes:

  1. Understand the nature of merger and acquisition activity, and evaluate current trends and activity in mergers and acquisitions in Australia and the Asia Pacific region.
  2. Apply a strategic framework for assessing mergers and acquisition transactions and understand elements of successful merger and acquisition activity.
  3. Evaluate and apply market oriented valuation techniques (such as multiples) and evaluate their role relative to discounted cash flow valuation methodology.
  4. Identify and understand relevant laws and regulations to merger and acquisition activity in Australia and selected Asian markets.
  5. Ability to execute a takeover and a takeover defence. This should cover the process from assessment and valuation of targets, execution and issues in post merger integration.

Topics:

  1. Overview of Valuation Process: Overview and Illustrative Examples
  2. Historical M&A Activity Levels
  3. Overview of M&A Market: Types of M&A Activity, Motivation for M&As, Brief Regulatory Overview
  4. M&A Laws and Regulations: History of Laws and Regulations, Schemes of Arrangement and Mergers, Accounting for Goodwill, Takeover Rules and Regulations, Other Types of Transactions
  5. Government Regulations: Trade Practices Act, Foreign Investment Review Board, Other Industry Regulations
  6. Executing a Takeover: Typical Offer Conditions, Takeover Tactics
  7. Valuation Methodology and Practice: Review of Practice and Procedures
  8. Framework for M&A Activity: Strategic Framework for Transactions 
  9. Takeover Defence: Directors' Duties, Pre-emptive Strategies, Reactive Strategies

Prerequisite Units:

Lecturers:

Unit Guides:

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