How to decide whether a company should make M&A or not?

whiteaqua's picture
Rank: Monkey | banana points 36

Hi guys,

I recently had a similar question in an interview and would like to know which financial ratios / indications you take into account to evaluate whether a company should or shouldn't do M&A.

Example: X wants to acquire Y. Which financial ratios / numbers (e.g. leverage etc.) should you take into account?

Many thanks!

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Jun 14, 2018