Companies making the decisions of the development, have to choose between the two alternatives: to buy another business or to expand from its own resources. As a solution to the problem, the companies increasingly prefer mergers and acquisitions. The Final Master's work contains that analysis, from the theoretical aspect, of mergers and acquisitions, overview of the market in these transactions in various regions, and comparisons of merger and acquisition trends in Lithuania and in the world, as well as the identification of target values of companies is carried out according to the prepared financial evaluation model for the companies‘ acquisition, and the assessment of transaction efficiency and risk. Theoretical part of the work analyses the concept of in mergers and acquisitions, highlights of the types of these transactions and their differences, and presents the main reasons for the transactions. It also contains the description of the merger acquisition process and analyzes the key methods for the assessment of transaction efficiency in target companies. After carrying out the comparative analysis of mergers and acquisition trends in different regions of the world one may conclude that these transactions were continuously growing throughout the world until 2007. This proves that mergers and acquisitions are popular and important in the modern business. The financial assessment of companies‘ acquisition, contained in the practical part of the final master work, to demonstrate it that the complex assessment of factors affecting the transaction is necessary to successfully carry out a merger or acquisition.
The work consists of six parts: introduction, theoretical study of mergers and acquisitions, transaction trends and comparative analysis in Lithuania and in the world, modelling of financial assessment of corporate mergers and acquisitions, findings and recommendations, the list of references used.
Volume of the work – 85 pages of text without annexes, 24 figures, 16 tables, 48 bibliographical sources.
Supplements to the work are attached separately.
Raktažodžiai: discounted cash flows, financial evaluation of business, adjusted book value, market multiplier method, synergy