M&A Transaction Common Stock One-for-One Basis?

Is a company buying another company on a common stock on a one-for-one basis buying the company at market cap?

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2 Comments

Humble Charlie The Lucky One

IB

5y

In the unlikely scenario where acquirer's share price equals the target's share price then yes, they pay the target's market cap in the form of stock.

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Laborare Pugnare Parati Sumus

IB

Associate 2 in IB-M&A

5y

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Authored by: Certified Investment Banking Professional - 2nd Year AssociateCertified Investment Banking Pro

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M&A Transaction Common Stock One-for-One Basis?

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