FINC312 Study Guide - Midterm Guide: Private Equity Fund, Rite Aid, Eckerd Corporation
Document Summary
Decisions to expand the assets under one"s control are also known as takeovers: case: rite aid. Rite aid acquired 1800 brooks and eckerd drug stores for . 5 billion. Synergies would be derived from rite aid having 5000 stores, narrowing the gap with rivals cvs and walgreen, each with more than 6,000 stores. Decisions to reduce the assets under one"s control are also known as corporate downsizing or divestitures, and when preceded by a takeover of the divested unit, as reverse takeovers. Alternatively the entity can restructure the assets under its control; such decisions are also known as corporate restructuring: case: ibm. Ibm divested itself of its ats division by selling it to the employees of the division. Decisions to retain such control are also known as takeover defenses: case: peoplesoft. Craig conway, ceo of peoplesoft facing an unsolicited takeover offer from.
