Help!!! What to ask an MD in Tech M&A
Hello fellow monkeys,
I have an interview coming up with an MD at an M&A boutique focusing on tech. What questions would you suggest I ask? Also, if anyone is familiar with tech M&A can you please answer the below:
What metrics are usually used for a tech deal? What are some recent deals in the space ? Why this industry?
Thanks guys!
ask him whether his ipad is 64gb or 32gb and whether it's worth it to get the wifi plan.
Qatalyst?
Definitely reference a deal that he worked on recently. You can find this info out by doing some research on Deal Journal and Dealbook. Additionally, if you have some contacts in IB, ask them to do a CapIQ screen or pull some info from mergermarket for you. During a phone conversation, I referenced a specific deal that closed within the last week and asked the MD I was talking to to quickly walk me through the whole process. He sounded impressed that I knew that he worked on the deal and asked for my resume at the end of the conversation. I still contact him every now and then and he's always quick to respond.
what firm? where?
@ Design..Trying to contact someone at a BB to do a quick Capiq pull to basically reference a deal that he worked on in the past year and basically do what you did...he already has my resume and this would the initial phone interview..
Tech has pretty standard multiples across most verticals, such as EV/EBITDA and EV/Revenue. The internet growth companies might use something like EV/Pageclicks and other stuff, but that doesn't usually directly correlate to revenue.
In terms of the questions, I would suggest keeping it high level since he is senior. You could ask him what he thinks about the recent hit that the economy took, and how the dynamics in the tech M&A sector would be effected, particularly after the Google/Motorola deal? Or maybe even, how bankers plan on encouraging their cash rich clients to transfer their cash piles from abroad, given the tax leakage, for acquisitions? I think, something along those lines would be good.
@Tom Riddle..Thanks that sounds about right. The firm has a reputation of being very technical with its candidates..any advice on any specific questions I should look out for (besides the DCF/LBO/Comps/Precedent Transaction typical questions)
They will ask you about accretion/dilution analysis, if you have some previous experience. Be prepared to talk at length at the differences between GAAP and non-GAAP/Cash earnings and what they mean. Amortization of intangibles and its acquisition effects can also come up, so be prepared. Have a strong reason for doing tech. Good Luck!
is this an informational? then all above sounds good
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