Inarticulate ramblings of a management consultant

the day to day experiences of a consultant operating in weird and wonderful client situations

Hostile takeovers

Revenue synergies – the last great hope in the justification of paying too much for too little

The announcement this morning of the acquisition of Baxalta by Shire suggests that the wave of pharmaceutical acquisitions is still ongoing. The current market fluctuation may help others to continue their quest in what is probably the largest sector consolidation we’ve seen in a decade or two. The Shire share price reaction is also interesting…a fall of 8% suggests that investors are increasingly concerned that for this specific deal, and […]

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What’s the big deal with hostile takeovers? Employee engagement or the ‘Hedgehog’ phenomenon!

A couple of weeks ago, following the rash of hostile transactions (see this link to a good FT article on the issue), I wrote a piece on one of the key challenges behind ‘going hostile’, that of access (you can read it here). This week, my focus is Engagement. In many ways, all the problems of hostile transactions stems from this dimension (it is also, by the way, a challenge […]

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What’s the big deal with hostile transactions?

The flow of transactions has been noted in this blog and throughout the financial press. In addition, the FT led an article earlier this week noting the volume of hostile deals (US appetite for hostile takeovers hits post-crisis high) as the M&A market heats up. I want to address in this some of the key challenges that distinguish hostile from friendly transactions. From my perspective, they fall broadly into 4 […]

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