While acquisitions do not have any particular formula to guarantee success, there is no doubt that some are more successful than others. Each specific deal has its own strategy, rationale and principles.
BroadSoft, the Gaithersburg company that provides cloud-based telecommunications services for business across the country, has announced that it will be acquired in the next year by California-based Cisco. The price tag? Nearly two billion dollars.
While the ongoing rift in Congress over health care reform continues to garner headlines, the growing activity in the pharmaceutical market continues with little coverage or fanfare. Despite this, the mergers between contract research organizations (CROs, for short) will likely affect health care in ways only investors may see right now.
Once you have built a profitable enterprise, you may start receiving offers for a merger or buyout. You're wise not to brush off them off. As your business grows and becomes more successful, the marketplace may become more competitive.
Recently, it was announced that Media General, a television and magazine company, is selling its business to Meredith for an estimated $3 billion. Maryland readers may already be aware that this sale pushes the dollar amount of mergers and acquisitions to a record high. The last time this many companies and individuals were selling a business on this scale was in 1999.
3M may be best known by Maryland residents for Scotch tape and Post-it notes. The company also makes personal protective gear. Therefore, it may make sense that it would make such a large investment to purchase Capital Safety, which also makes protective gear.
In every industry, certain legal prerequisites must be met before the purchase of a business can be considered final. Some companies who are buying a business have to wait for the federal government to approve the purchase before it can move forward in order to comply with federal antitrust laws. People in Maryland who follow the telecommunications business most likely heard about the proposed merger between Comcast and Time Warner Cable. The deal was recently called off because it did not receive federal approval.
A time may come when a Maryland business owner wants to sell his or her business. Before that can happen, it may be beneficial to consider taking certain actions. Making preparations before selling a business could make the process go more smoothly and properly showcase the value of the company.
The decision to purchase a business is a significant undertaking and should be made in light of complete information regarding the target company. This includes various financial aspects, intellectual property and various other legal considerations. Having this information is essential in formulating and negotiating the terms of buying a business in Maryland or any other state.
Warren Buffett has long been known as a man with extraordinary foresight when it comes to the stock market and making profitable investments. Those in Maryland who follow Buffett's dealings may already know that he recently decided to make a large investment by purchasing Duracell -- a leading battery manufacturer and distributor. Following an increasing trend, Buffett's company, Berkshire Hathaway, is acquiring the company through a deal that involves a purchase price comprised primarily of stock in Procter & Gamble, which is the company from which Buffett is buying the battery company.