M&A Merger Model (Accretion / Dilution)

Combine two companies in a stock-and-cash deal and build the merger model, not just the EPS test: total uses including transaction fees, the funding mix, new shares issued, after-tax interest on the fee-funded debt, the full purchase-accounting entry through net identifiable assets and the goodwill residual, step-up amortization, and synergies that phase in rather than arriving whole. Then it covers what the EPS analysis alone can't: a contribution table that sums to 100%, pro forma ownership set against it, and a Year 2 build where synergies reach run-rate while the deal costs don't. Every line must be linked, not pasted.

IB · Advanced · about 120 minutes · 33 guided steps

Lesson outline