You work for a prestigious investment bank, Cowen Group (CG), which has been recently commissioned by Google Inc.
(now Alphabet Inc.) to investigate a number of potential M&A opportunities.1 The lead partner has asked you to prepare
a report with a detailed summary of your evaluations and recommendations in relation to a potential target firm.
PART A – TARGET SELECTION AND FIRM VALUATION (30%)
Google (now Alphabet Inc.) is seeking to grow through M&As. Your major task is to locate one potential target that
would interest Google and make a deal. Towards this end, you and your team are required to investigate all the listed
firms in the U.S. There is no limitation on the industry in which the potential target firm operates, as long as there are
decent synergies that can be created through this M&A and it fits the current and future strategic goal(s) of Google. It’s
a challenging task, so you and your team should do it step by step accordingly.
Step 1. Analyze Google Inc’s strategy, market position and industry overlook. Conduct a full SWOT analysis (Strengths,
weaknesses, opportunities and threats) of Google.
Hint: Useful information can be obtained from Google’s most recent 10K Annual Report, business news or other reliable
Step 2. Decide whether Google should make a vertical or horizontal M&A and justify your choice.
Step 3. Set the M&A search criteria and identify three listed firms that would potentially interest Google. All the selected
potential target firms must have at least five years of accounting information necessary for valuation. To check the
availability of accounting information, search for the firm’s 10K annual reports at the following link:
Briefly discuss (and justify) the criteria that you have used to identify the three target firms.
Hint: Some examples of selection criteria are:
a. Is the firm in alignment with Google’s vision, long-term strategy and growth objectives?
b. What are the potential synergy gains? For example, it could be young firms with a pipe line of innovative projects
that may lead to promising products in the future; firms with strong expertise that allow Google to expand its
existing expertise in engineering and other functional areas; firms having a presence in a fast-growing industry
in which Google wants to enter in; or firms with strong names that can help Google to gain more market power,
etc. Here, do some brainstorming!
c. Does the firm have post-integration potential, i.e., how likely can Google successfully integrate the firm’s
business, technology, human capital and other resources to produce the synergy gains that Google intends to
achieve through the acquisition of the firm?
Then each religion has an outlook upon the other two religions. The Islam has something to say about Jews and Christians, Christians have something to say about Jews and Islam’s, and Jews have something to say about Christians and Islam’s. The Islamic people think that “Jews and Christians are respected as ‘People of the Book,’ but they have wrong beliefs and only partial revelation.” This means that Islamic people think that the other two religions are respectable by what the Qur’an says, but they think that the beliefs of these people are wrong. Jewish people think that both “Islam and Christianity are false interpretations and extensions of Judaism.” This means that the Jews think that Islam’s and Christians are completely wrong in what they do and that they are not following or believing what they actually should. The y think that the other two religions should do exactly what the Jewish people do and then they would be following what they need to be. Then there is Christianity. They think that “Judaism is a true religion, but with incomplete revelation.” Christians believe that Jewish people are right in what they believe in, but they don’t think they have full grasp of everything they need to believe in. They also think that “Islam is a false religion.” Christians believe that Islam’s are wrong in everything they do and what they are doing is completely wrong. They are against anything Islamic people do, and would never partake in any of it. “Comparison of Islam, Judaism and Christianity.” Religionfacts.com. N.p., n.d. Web. 3 Mar. 2013. . Not everyone in this world can believe the same things, do the same things, or even partake in the same activities, but that doesn’t mean they can’t sometimes get along. These three religions don’t hate each other, they just don’t always necessarily agree with one another. It’s like they are siblings fighting over where to go out to eat. One of them wants seafood, one wants barbecue, and the other wants Italian. Christians want Jesus to come take them away so they can go live an eternal life in heaven, Islam’s want their God to come save them so they can have an eternal life in paradise, and the Jewish people want Jesus to have his first coming and save them. They all have disagreements on what’s right and what’s wrong, but they can sometimes get along. For instance, they all believe in one God and worshiping that one God. They all believe that there should be a certain day on which they worship, even though these days are not the same. They all believe in a hell and demons along with angels. They all have a special book of their own that they study, and in that book is the word of that religions God. So you see, they may have many, many differences as the three Abrahamic Religions, but they do have some things in common that they agree about also.>GET ANSWER