What approaches and methods are used for valuation of Mergers and Acquisitions; their pros and cons, role of synergies in M&A valuation?
Mergers and acquisitions (M&A) are common reasons for seeking a business valuation. The evaluation of mergers and acquisitions involves analysis for situations in which one company (the Buyer) offers cash or its own common stock in exchange for the common stock of the other company (the Target). To determine the value of a business, there are three different approaches i.e, Asset-based approach, Income approach and Market approach. Either a single approach or a combination of the three approaches can be employed while determining the value. Asset-Based Approach – This approach states that the buyer shall not pay more value for the purchase of an asset where a similar asset of the same value could be bought.
One of the negative sides present in the text is the use of spelling, other words are spelled American and the other is British words; a few examples are “neighbor” and “neighbour.” I suggest sticking either of the two for the audience not to be confused. Moreover, although most of the phrase’s commas and periods were correct, there are a few sentences in that commas are not applied properly. One of the examples is, “Supporting other people in your community can help you as much as it does them. Check in on neighbours, family and friends. Compassion is a medicine.” I suggest putting a comma before the word “and,” and putting a hyphen in between the word “check” and “in. Lastly is the use of abbreviations. In the text, the word “WHO” was used frequently. It stands for World Health Organization. In my perspective, we should use the whole meaning rather than the abbreviation since it might lead to confusion for some audiences.
The speech is all about the disease Covid-19 but there is more than that. The speech doesn’t only talk about the problem we experience this pandemic and how we should manage to do this. The speech also talked about how Covid-19 helped us, how that disease taught us to be united. The disease helped us to work, learn and grow together. No matter how hard the situation is, we managed to help one another. The text has proper punctuation, capitalization and is well organized for a speech. As a STEM student, after reading this speech, I have learned much in terms of the said pandemic as what the speech is discussing because we focus on Science and Technology that has certain connections with the speech.