Professional Documents
Culture Documents
Acquisition
Two companies (often of same size) One company takes over another
decide to move forward as a single and establishes itself as the new
new company
owner of the business
Stocks of both the companies are Buyer company swallows the
surrendered, while new stocks are business of the target company
issued afresh
Example, Glaxo Wellcome and Example, Dr. Reddy's Labs acquired
SmithKline Beehcam ceased to Betapharm through an agreement
exist and merged to become a new amounting $597 million
company,
known
as
Glaxo
SmithKline
TYPES OF MERGER
Horizontal Merger
2 Vertical Merger
3. Conglomerate Merger
4. Concentric Merger
1
Mark Zuckerberg
CEO of Facebook
Jan Koum
CEO of WhatsApp
WHATSAPP
Founded
Feb 24 2009
Founder
Jan Koum
Stable Release
Operating System
FACEBOOK
Founded
Feb 4 2004
Founder
Revenue
US$7.872 billion
Operating income
US$2.804 billion
Net income
US$1.5 billion
Users
Why Acquisition
MAU (monthly active users) will ramp up to 1 billion by 2019
SWOT Analysis
Strengths
Loyal customers
Market share leadership
Group Chat
Available for all platforms
Diversify
Free voice calls and Voice Massages
Weakness
Not diversified, because other applications offers the same
service and also function as social media
To access the account can only be paid by credit card only
Only works with a data plan or Wi-Fi
Opportunities
Continued development of technology platforms
Advanced technology
Recognized application
Modernization of people
Increased demand for smartphones
Threats
Competitors like WeChat, Viber, Tango, Skype, Line
Product substitution
Similar applications and free
Present Status
WhatsApp to add voice call to its product in second half of
this year or next year.
Two privacy groups filed a complaint with the Federal
Trade Commission to block Facebook's $19 billion
acquisition of messaging service WhatsApp. The groups
want Facebook to provide more insight into how it intends
to use data from the app's 450 million users.
Sun Pharmaceutical
acquires
Ranbaxy
Sun Pharmaceutical
Incorporated
Founded
by Dilip Sanghvi
Biggest
Market
presence in 45 countries
Turnover
14th
Ranbaxy
Multinational
Pharma Company
Incorporated
Wide
2008:
Exports
Turnover
Highlights of Deal
Deal
Valued
at approximately $ 4 Billion
Ranbaxy
5th
No.
Increased
Brazil
Merged
Benefits
India
Extensive
Opportunities
sell
Strong
Doctor relationships
Unforeseen
People
legal liabilities
related issues
Competition
Approval of
Shareholder
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