Brewer Pritchard: Mergers and Acquisitions Explained presentation

1. Brewer & Pritchard: Mergers and Acquisitions
Explained

2. Mergers and acquisitions: A Part of Business
• Mergers and acquisitions (M&A) are a part of business finance and corporate
strategy that deals with the buying, selling, dividing, and combining of separate
companies.
• The goal is to join resources in an effort to create favorable business results.
• The philosophy in support of mergers and acquisitions believes that a business
environment where both entities are joined as one is better to navigate than if both
maintained their autonomy.
• When companies share an economic interest, the promise of creating efficiencies
and economies of scale is often intriguing to both parties.

3. Types of Acquisitions
• An acquisition is the purchase of one business or company by another.
• This usually applies to the purchase of a smaller company by a larger one, and
may be straightforward or hostile.
• In a straightforward acquisition, the two companies cooperate in negotiations.
• Hostile acquisitions attempt to take over a company that refuses to negotiate by
acquiring a majority share of stock.
• This can be done against the wishes of the “target” company.

4. Get The Best Deal
• In each case, the target company still exists as an independent legal entity, but it is
controlled by the acquirer.
• A merger, on the other hand, can be seen as a mutual decision made by two
relatively “equal” entities to combine and become one.
• Mergers are much more straightforward deals that include negotiations and direct
dealing.
• The success of any merger or acquisition is dependent on the level of positive
synergy created.
• Working with a professional firm that can negotiate the deal can help make this
happen.

5. About the Company:
• Brewer & Pritchard handles a wide variety of legal issues in the Houston area.
• They are experienced in negotiating corporate litigations, securities, mergers,
acquisitions, and more.
• For more information, visit www.bplaw.com.