Explain the rationale behind the takeover strategy in which companies with a high share price to earnings
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Explain the rationale behind the takeover strategy in which companies with a high share price to earnings ratio takeover companies with a low price to earnings ratio. How can such a strategy increase the share price of the bidding company? What are the risks associated with such a strategy? Assuming that A plc makes a bid for M plc in the way suggested,
Related Book For
Introduction to Financial Accounting
ISBN: 978-0133251036
11th edition
Authors: Charles Horngren, Gary Sundem, John Elliott, Donna Philbrick
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