Home > Industry/Domain > Banking; Business services > Mergers & acquisitions

Mergers & acquisitions

Referring to the aspect of corporate strategy, finance and management that deals with the buying, selling or combining of different companies that can assist a growing company to grow rapidly without having to create another business entity.

Contributors in Mergers & acquisitions

Mergers & acquisitions

Tax-free reorganisation

Banking; Mergers & acquisitions

Nontaxable transactions usually involving mergers, with the form of payment primarily acquirer stock exchanged for the target's stock or assets.

Terminal growth value

Banking; Mergers & acquisitions

The discounted value of the cash flows generated during the stable growth period. Also called the sustainable, horizon,or continuing growth value.

Term sheet

Banking; Mergers & acquisitions

A document outlining the primary areas of agreement between the buyer and the seller, which is often used as the basis for a more detailed letter of intent.

Tax-free transactions

Banking; Mergers & acquisitions

Transactions in which the form of payment is primarily acquiring company stock. Also called tax-free reorganizations.

Term loan

Banking; Mergers & acquisitions

A loan usually having a maturity of two to ten years and secured by the asset being financed, such as new capital equipment.

Taxable transaction

Banking; Mergers & acquisitions

Transactions in which the form of payment is primarily something other than acquiring company stock.

Tax considerations

Banking; Mergers & acquisitions

Structures and strategies determining whether a transaction is taxable or nontaxable to the seller's shareholders.

Featured blossaries

Poverty

Category: Politics   2 20 Terms

Paintings by Hieronymus Bosch

Category: Arts   1 20 Terms