http://venturebeat.com/2007/05/22/ad-merger-fever-rages-on-zanox-goes-to-axel-springer-slips-from-valueclick/ News About Tech, Money and Innovation Mon, 23 Nov 2009 10:55:42 +0000 http://wordpress.org/?v=2.8.5 hourly 1 http://venturebeat.com/2007/05/22/ad-merger-fever-rages-on-zanox-goes-to-axel-springer-slips-from-valueclick/comment-page-1/#comment-864357 John Bushelle Tue, 10 Jun 2008 15:39:04 +0000 http://venturebeat.com/2007/05/22/ad-merger-fever-rages-on-zanox-goes-to-axel-springer-slips-from-valueclick/#comment-864357 Business combinations, merger, acquisition, and joint venture are not easy to execute and they most often don’t live up to their expectations. There have been several studies done on mergers and acquisitions announced in the last 20 years and in well over 60% of the cases the synergy was not realized. When synergy doesn’t materialize the acquiring company ends up damaging shareholder value because premiums paid to take a significant equity stake in a target company are not recouped. However, by understanding a company’s motives for buying, selling, or partnering a business, how the decision fits in with their overall corporate strategy, and the careful identification of the characteristics of an ideal target, the chances of success can be greatly increased. effective post merger integration is a big key to success. Business combinations, merger, acquisition, and joint venture are not easy to execute and they most often don’t live up to their expectations. There have been several studies done on mergers and acquisitions announced in the last 20 years and in well over 60% of the cases the synergy was not realized. When synergy doesn’t materialize the acquiring company ends up damaging shareholder value because premiums paid to take a significant equity stake in a target company are not recouped. However, by understanding a company’s motives for buying, selling, or partnering a business, how the decision fits in with their overall corporate strategy, and the careful identification of the characteristics of an ideal target, the chances of success can be greatly increased. effective post merger integration is a big key to success.

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