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Mergers And Acquisitions

GROUP 4
Adidamu Shruti 19PGHR05 Samyak Jain 19PGHR34
Kunal Jain 19PGHR24 Prateek Singhal 19PGHR54
Manav Shangari 19PGHR26 Anika Singhal 19PGHR59
What Mergers and Acquisitions
● In a merger, two companies come together and create a new entity.

● In an acquisition, one company buys another one and manages it consistent


with the acquirer’s needs.

● Objective- wealth maximization, companies keep evaluating different


opportunities through the route of merger or acquisition.
Why do companies merge

● Mergers for market ● Mergers for risk ● Move quickly and


dominance; spreading, cost inexpensively.
economies of scale. cutting, synergies, ● Financial gain and
● Survival; critical defensive driver personal power.
mass; sales ● Acquisition of cash, ● Acquiring talent,
maximization deferred taxes, and knowledge, and
excess debt capacity technology
Steps Involved In a Merger

● Searching for potential partner


Pre Combination
● Planning for managing the process of M&A

● Creating the new strategies/structures/leadership


Combination
● Managing the change process

Solidification of the ● Assessing the concerns of the stakeholders


New Entity ● Solidifying the leadership and staffing
Implications
Pre Combination Combination New Entity

● Conducting thorough ● Selecting appropriate ● Assessing the


due diligence of all candidates for effectiveness of the
areas positions new leadership
● Cultural assessment ● Establishing the new ● Ensuring the
● Deciding the structures and HR satisfaction of all the
composition of the policies stakeholders involved
team
Analyzing the Merger: Flipkart and Walmart
Roadmap for a successful Merger – Flipkart and
Walmart
The three things that will be most important to make the integration successful are:
1. Vision and purpose: Why did the deal happen? What is the vision for Flipkart moving
forward? These need to be articulated and communicated, to energies employees.

2. Clarity: Clearly communicate the integration roadmap, how it will impact people. Listen to
what team members have to say, address their questions and concerns.

3. Change agents: Identify team members on both sides (Walmart should leverage people from
WM Labs as well) who will help drive the transition and change. Involve this group in the
planning and execution.
Thank You

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