The most expensive merger & amp; acquisitions
0 0 0

The most expensive merger & amp; acquisitions

The most expensive merger & amp; acquisitions
Merger is a legal consolidation of two or more companies, whereas acquisition is about one company taking over another company or declares itself as the new owners. Both can occur due to economic and financial consolidation of the entities or shares. But in the modern day mergers and acquisitions have become almost synonymous and the fine line dividing the two events is becoming blur with each and every modern day M&A, which has become the new abbreviated and popular form of addressing Merger and Acquisition. This has become a multimillion dollar affair, and one of the most interesting business strategy and corporate finance and management. Here are some of the most expensive Merger and Acquisition in the world till date.
  1. 1.       RBS acquires ABN-AMRO.
The race to buy or acquire was hotting up with Royal Bank of Scotland or RBS and Barclays vying for the ABN-AMRO Bank whose head office was located in Amsterdam, Netherlands. A consortium was formed known as RFS Holding, which was formed by Royal bank of Scotland, Belgium’s Fortis Bank and Banco Santander of Spain. The RFS Holding went on to acquire ABN-AMRO for a whopping 98.5 billion USD. It is one of the most expensive banking deals, as well as one of the most expensive M&A
  1. 2.       Acquisition of Philip Morris International:
Philip Morris International was an operating company of Altria Group. The Company was a cigarette company in the US, and Altria decided to offload shares to make it more free and flexible from US corporate Ownership. This also gave the company flexibility in terms of potential litigation as well as freedom in terms of developing markets and sales in developing countries away from stricter norms and strict legislative restrictions of US corporate laws. Consequently Altria Shareholders were allotted with Philip Morris International Shares, while acquiring PMI at a total price of about 113 billion USD. The stick was listed in London Stock Exchange, and is considered as one of the biggest Merger and Acquisition.
  1. 3.       Verizon Acquires Vodafone US:
American Broadband and telecommunication giant acquired Vodafone’s wireless business in the United States, for an estimated value of 130 billion USD. The deal is one of the largest telecom deals in the US and also in the world. The merger or acquisition deal comes into effect from September 2013.
  1. 4.       Time Warner acquisition by AOL:
Once described as “deal of the millennium” the merger was aimed at becoming the largest media company in the world. The two giants of the media and entertainment industry the Time Warner group merged with America Online or AOL for a record 182 billion USD. Though the deal faced troubled times later, yet it still remains as one of the most expensive merger and acquisitions in the record books.
  1. 5.       Vodafone acquires Mannesmann:
This hostile takeover by British multinational telecom giants Vodafone of the German telecom giant Mannesmann in 2000 cost the British telecom company a whopping 230 billion USD. The business dynamics especially in the telecom industry changed dynamically and drastically after this multibillion dollar acquisition. It is still the largest acquisition deal around the world.   Finally: These days M&A has become an integral part of corporate strategies and other management and financial decisions. They have become one of the most powerful business decisions and market mover across the globe. The above record breaking figures involving some of the biggest merger and acquisition can be broken any day and any moment, depending on a certain boardroom decision or financial whizkid’s suggestion.
Share With The World
0 0 0

Facebook Conversation