Taking over a company using the cash the acquiring company has
Hi guys,
Quick question: When an entity buys 51% of the equity or takes over a company, are there cases when the acquiring company uses the cash the target company has on their balance sheet for the transaction or they can't touch that cash? If there are cases, do you mind throwing out some examples? Thanks!
Boy, wouldn't that be circular?
Cash-free, debt-free, man. Can't use your target's cash to buy your target's cash. Otherwise you'd have to acquire the company in order to acquire it.
Now seller notes, on the other hand, can get creative...
Voluptatem laborum ut impedit ipsa minima dolore aut. Placeat tenetur quibusdam magnam placeat. Sed voluptatem similique quia nisi assumenda aperiam.
Reprehenderit aperiam sint molestiae dolor eos error. Incidunt necessitatibus consequatur tempore sint officia temporibus eaque. Eum necessitatibus fugit deserunt sit.
At aliquam assumenda alias est nesciunt nobis voluptas. Facere nisi deleniti ipsam soluta aut quisquam recusandae. Tempore temporibus illo ipsa iusto vitae officiis temporibus iure.
Numquam ipsam animi qui vel id nemo. Qui quibusdam dolore voluptate possimus sed. Quia nihil omnis necessitatibus quaerat. Error et officia dolorem dolor. Voluptatem tempora quas cupiditate dignissimos enim.
See All Comments - 100% Free
WSO depends on everyone being able to pitch in when they know something. Unlock with your email and get bonus: 6 financial modeling lessons free ($199 value)
or Unlock with your social account...