Mergers & Acquisitions: The Dealmaker's Journal articles from September 2005

Mergers & Acquisitions: The Dealmaker's Journal archives from September 2005

The Times Are Always A-Changin'.(Editorial)
September 1, 2005... Dealmakers ought to pay pretty close attention to the early August decision in Delaware that took Walt Disney directors of the hook for paying former president Michael Ovitz something like $140 million to get lost. Strictly speaking, that...

Reach Out Locally to Make ACG Thrive.(Peter L. Coffey addressing)
September 1, 2005... The majority of us joined ACG because friends invited us to attend a meeting to hear a speaker they thought we'd be interested in. At the meeting, we were impressed with the speaker because the slides he gave weren't from the last road show;...

The Manchurian Candidate(s).(Shenyang municipality to sell 24 state-owned enterprises)
September 1, 2005... "Shenyang municipality announces it is to sell 24 SOEs (state-owned enterprises)." This announcement is likely to create a flurry of M&A activity in the coming months in northeastern China. In order to accelerate the reform of its...

Ingredients for Successful Integration Highlighted At ACG Minnesota's First Capital Connection.
September 1, 2005... The ACG Capital Connection & Conference welcomed 400 people to the Radisson Plaza Hotel in Minneapolis - ACG Minnesota's venue of choice for its inaugural event in July. "This is a very exciting time for ACG Minnesota," said Robin...

ACG Gears Up for Significant Growth in Europe and Mexico.
September 1, 2005... The 175 ACG members in Europe today represent a small percentage of the total ACG membership of 9,500. Recently ACG introduced plans to dramatically increase the number of members in Europe, knowing that an increased concentration of European...

As ACG Louisiana Gives and Grows, All Members Reap the Benefits of the New ACG Chapter.
September 1, 2005... The gift that keeps on giving. That's how Mike Roher refers to ACG, an organization he has belonged to for more than a decade, starting in 1995 in Arkansas where he was running his own private equity firm. Roher, now President of private...

Save the Date! Upcoming ACG Capital Connections and Conferences.(Calendar)
September 1, 2005... ACG Philadelphia 2005 M&A East Conference September 14-15, 2005 PA Convention Center Philadelphia, PA www.acg.org/philadelphia ACG Los Angeles Annual Middle-Market Conference September 27-28, 2005 ...

LBO Funds Offer Incentives To Drive High-Priced Deals: Groups propose "reverse" breakup fees, dropping the financingout while angling for SunGard and Neiman Marcus buys.(Leveraged Buy Out)
September 1, 2005... In a major shift from traditional leveraged dealmaking, two private equity consortia have agreed to pay breakup fees to their targets if they can't close their megadeals. The unusual provisions appear in the agreements covering the...

International Paper Maps Massive Shakeup.(Entegris Inc. and Mykrolis Corp. merge)
September 1, 2005... For years, International Paper Co. has led its industry in size and lagged its peers in generating shareholder value. That disparity, in a mature, capital-intensive industry where even the best performers don't rank as headliners, is a...

Top Of The News...(Brief Article)
September 1, 2005... Heavy-duty staffing at a number of law and investment banking firms in recent weeks boosted those companies' dealmaking skills. BofA bagged new managing directors focused on the consumer/retail, telecom, natural resources, and chemicals...

M&A appointments.(Mergers and accquisition)
September 1, 2005... America's Growth Capital - Co-Founder Maria Lewis Kussmaul shifted from her former role as head of capital markets and senior information security and IT infrastructure analyst to a new role in which she leads the information security and...

Acquiring a Strong Brand On the Most Optimal Terms: Asset-backed security, with a reduced interest rate, helps Iconix buy JOE BOXER and harness its enormous cash-generating ability.(Iconix Brand Group Inc.)
September 1, 2005... JOE BOXER's name is as good as money in the till when it comes to dealmaking. The popular brand of underwear, apparel, and home textiles changed owners in July with an asset-backed bond issue helping to finance the $80 million deal. Key...

Multiples Shoot Upward As the Deal Flow Perks Up.(Brief Article)
September 1, 2005... Average multiples of EBITDA in the May-July span inched up slightly to 10.76 in response to energized deal flow and healthy transaction prices. Pricing was expected to rise due to the easing of financing requirements placed on buyers. ...

ALL EYES FOCUSED On Deal Risks.
September 1, 2005... Along with the financials, operations, product and service quality, and other obvious aspects of their targets, acquirers are scrutinizing corporate governance systems and practices of potential partners - public or private. Adding governance...

Personality Survey Helps Smooth "People Issues": Results can be used in a deal to gauge the target's culture, retain key talent, reduce turnover, and motivate the new employee base.(Predictive Index)
September 1, 2005... Uncertainty during a merger or acquisition can trigger stress in employees and affect their perceptions and productivity and the dynamics of a deal itself. Employees may feel anxious, uncertain, and worried about their futures. These feelings...

Insurers Jockey for Position As Medicare Benefits Kick In: As health insurers eye a potential money-maker, some opt for JVs over mergers in advance of the Medicare Advantage rollout.
September 1, 2005... As the Medicare Modernization Act kicks into full swing, health insurers are positioning themselves to participate in the potentially lucrative managed care business. Starting in 2006, seniors without health coverage will be able to join a...

Regulation Influences HCPro's Deal Decisions: The health care products and services provider thrives on legislation to fuel its business.
September 1, 2005... "We like regulation," asserts Bruce Guzowski, President and CEO of HCPro Inc., provider of health care regulation and compliance publications, education, training, seminars, and consulting services. "It has been said that for every dollar...

Whirlpool/Maytag Girds for Market Scrap: Newly formed giant would have to counter inroads made by rival Asian appliance makers.(Whirlpool Corp. acquires MAytag Corp.)
September 1, 2005... Whirlpool Corp. fought a tough battle to win Maytag Corp., finally persuading its home appliances rival that it was the right buyer by shelling out 50% more than its chief bidding competitor. But now the hard work really begins. First,...

An Expanded View of DEAL FAIRNESS: NASD adds management rewards to possible conflicts of interest.(National Association of Securities Dealers National Association of Securities Dealers National Association of Securities Dealers)
September 1, 2005... The NASD has stepped into the long-running controversy over possible conflicts of interest by bankers rendering fairness opinions in M&A transactions. If a process launched by the association results in a proposed rule, fairness opinions that...

Is the Target Really a Big Environmental Risk? A business-like approach to environmental inquiry can speed up dealmaking.
September 1, 2005... In the early days of environmental due diligence, many good deals were hampered by the consultant's inability to properly define and communicate the environmental liabilities. Multi-million-dollar deals were delayed or cancelled due to...

ACG Chicago Co-Hosts Cruise Along Lake Michigan Shores.(Brief Article)
September 1, 2005... On a beautiful evening in July, members of ACG Chicago, The Turnaround Management Association Chicago/Midwest Chapter and the Midwest Business Brokers & Intermediaries Association climbed aboard the Mystic Blue Cruise Boat on Lake Michigan...

The Growth of ACG Continues.
September 1, 2005... "The ascent of Everest was not the work of one day, nor even of those few unforgettable weeks in which we climbed...It is, in fact, a tale of sustained and tenacious endeavor by many, over a long period of time.- Sir John Hunt, scaled Mount...