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Program Type: 
Thesis
Non Thesis
Course Code: 
FE 536
P: 
3
Lab: 
0
Credits: 
3
ECTS: 
10
Course Language: 
English
Course Objectives: 

To provide a well-rounded understanding of the major strategic, economic, financial, and governance issues of mergers and acquisitons, with an emphasis on the valuation and performance assessment of the M&A deals. 

Course Content: 

Drivers of mergers; Ethics in M&A; Cross-border M&A; Performance of M&A; Valuation approaches and synergies; Valuation of highly levered deals; Deal structuring; Post-merger management issues; Governance in M&A; Hostile takeovers; Takeover defenses

Teaching Methods: 
1: Lecture, 2: Question-Answer, 3: Discussion, 4: Simulation, 5: Case Study
Assessment Methods: 
A: Testing, B: Presentation C: Homework, D: Project, E: Laboratory

Vertical Tabs

Course Learning Outcomes

Learning Outcomes Program Learning Outcomes Teaching Methods Assessment Methods
1. To understand the motivation behind mergers and acquisitions and to identify the wrong reasons for M&A 1,4,5,8  1,2,3,5 A,C
2. To know the historical performance of mergers and acquisitons and understand the reasons driving this performance 1,3,4,5,8 1,2,3,5 A,C
3. To be able to discuss the basic steps that the merging firms go through in a typical M&A process, starting from deal initiation until deal completion 1,2,3,4,5,6,8,9,10 1,2,3,5 A,C
4. To be able to apply the relevant valuation techniques to assess the values of the assets of the merging firms 1,2,5,8 1,2,3,5 A,C
5. To be able to describe the key negotiation items between the merging firms in a merger process and assess their economic implications for both parties 1,2,3,4,5,6,8,9,10 1,2,3,5 A,C
6. To be able to identify the managerial and governance problems that may arise post-merger and describe the methods to deal with them 1,3,4,8,9,10 1,2,3,5 A,C

Course Flow

Week Topics Study Materials
1 Introduction and Review of Mergers and Acquisitions Textbook Ch. 1
2 Drivers of Mergers; Ethics in Mergers and Acquisitions Textbook Ch.  2, Online resources
3 Performance of Mergers and Acquisitions  Textbook Ch. 2
4 Cross-Border M&As Textbook Ch. 18
5 Strategy and Acquisition Search Textbook Ch. 4
6 Due Diligence Textbook Ch. 5
7 Midterm  
8 Valuation Approaches Textbook Ch. 7
9 Valuing Synergies Textbook Ch. 8
10 Valuing Highly Levered Deals Textbook Ch. 14
11 Valuing Liquidity and Control Textbook Ch. 8
12 Deal Structuring Textbook Ch. 11
13 Post-Merger Management Issues and Corporate Governance Textbook Ch. 6
14 Hostile Takeovers and Takeover Defenses Textbook Ch. 3

Recommended Sources

Textbook DePamphilis (2017). Mergers, Acquisitions, , and Other Restructuring Activities, Academic Press, 9th Edition.
Additional Resources Damodaran (2012). Investment Valuation: Tools and Techniques for Determining the Value of any Asset, Wiley, 3rd Edition.

Material Sharing

Documents Textbook, class notes, class Moodle page
Assignments Homeworks, case studies
Exams  Midterm and Final

Assessment

ASSESSMENT
IN-TERM STUDIES NUMBER PERCENTAGE
Mid-Term 1 30
Class Performance 1 30
Final Exam 1 40
  Total 100
CONTRIBUTION OF FINAL EXAMINATION TO OVERALL
GRADE
  40
CONTRIBUTION OF IN-TERM STUDIES TO OVERALL
GRADE
  60
  Total 100
 
COURSE CATEGORY Expertise/Field Courses

Course’s Contribution to Program

COURSE'S CONTRIBUTION TO PROGRAMME
No Program Learning Outcomes Contribution
1 2 3 4 5
1 To comprehend the basic principles of finance and to be able to apply these principles in national and international areas.          X
2 To use modern information technologies and current financial tools effectively.        X  
3 To comprehend the ethical rules and social responsibility understanding accepted by financial professional organizations and to apply them in the decisions to be taken.    X      
4 To have the infrastructure that will enable them to do business in multicultural, multilingual and interdisciplinary environments.      X    
5 To have information about the markets and the functioning of the markets and to analyze the developments in these markets.     X X  
6 To recognize the management tools and models specific to multinational companies and to be able to apply them where necessary.          
7  To understand the structure of the global economic system and to analyze how new developments will affect this structure.   X      
8 To be able to use the ability of critical thinking in the decision making process.    X      
9 To transfer the acquired leadership, teamwork and communication skills to the lifelong learning process.           
10 To be able to manage the process with analytical and creative approaches by anticipating the opportunities and problems that dynamic working conditions may create.           

ECTS

ECTS ALLOCATED BASED ON STUDENT WORKLOAD BY THE COURSE DESCRIPTION
Activities Quantity Duration (Hour) Total Workload (Hour)
Course Duration (Including the exam week: 15x Total
course hours/week)
16 3 48
Hours for off-the-classroom study (Pre-study, practice,
review/week)
16 4 96
Homework 5+1(Proje) 60 60
Mid-term  1 10 20
Final 1 15 30
Total Work Load     254
Total Work Load / 25 (h)     10.16
ECTS Credit of the Course     10