CASE STUDY: Argentina financial system: the case of banco de Galicia could u go thru the following
Question:
CASE STUDY: Argentina financial system: the case of banco de Galicia
could u go thru the following case study of in order to answer a few questions below:
Q1) Is the hypearound Equardo Escasay's idea from May 2000 justified? a. If you were a Banco de Galicia minority shareholder, would you accept the tender offer outlined in the case?
b. why was it allowed to occur if the transaction was so harmful to the shareholders?
c. From the management's perspective, what is the justification for the share offer? Is the approach legitimate?
2) Should Argentina's government support or oppose the selling of its banks to foreign investors? Which benefits and drawbacks come with foreign control of the domestic banking industry?
3) a)What effect and impactwill the Banco de Galicia offer have on the growth of the Argentine financial market? Does this make sense? whether is it good or bad ? Is the model appropriate for Argentina, considering how quickly the banking-centric economies of Germany and Japan grew?
b)What are the typical procedures and mechanism for handling exploitation of minority shareholders?
Financial Accounting Tools for Business Decision Making
ISBN: 978-0470239803
5th Edition
Authors: Jerry J. Weygandt, Paul D. Kimmel, Donald E. Kieso