Strategic buyer vs. financial buyer WACC

Can anybody give any insight to how WACC differs (if at all) based on the size and nature of an acquirer in a merger? Should a strategic buyer use a WACC that is more in line with that of a financial buyer for a kind of "base case" valuation.

Not the most interesting topic, but thanks in advance for any replies.

2 Comments
 

Not sure if the WACC would vary, but generally strategics pay more than sponsors because of the potential synergies involved (on revenue and expense side) with the current business segments...

 

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