This course is divided into three modules for practical educational purposes. Students will learn about the interdisciplinary approach required for the understanding and analysis of M&As, evaluation of firms and corporate restructuring. 

Module 1: Accounting, corporate finance, strategic management, industrial economics, a review of national and EU corporate & taxation law with emphasis on methods and decision-making tools.

Module 2: M&A Theory

• Motives – expected outcome – the role of management – corporate structures for pre- and post-M&A activity for the various types of M&A tactics
• Evaluation methods of proposed M&As
• The art of negotiation
• Evaluation methods and financing of M&As
• Legal and taxation issues of M&As
• Projected financial statements for post-M&A period based on Long Range Planning (LRP), risk mitigation scenarios and benchmarking tools

Module 3: Case studies

• Methodological issues for case study analysis, problem solving and the evaluation and analysis of data for corporate decision making
• Interdisciplinary approach in case study analysis
• Content, structure, and analysis (including samples) of reporting to Board of Directors (BoD) for M&A decisions

The strategic decisions of corporate restructuring are complex and multivariable decisions involving all corporate functions of firms in the decision-making process, as well as a number of external advisors such as lawyers, technical experts, auditors, and others. 

In particular, for the Greek and foreign firms operating in Greece or intending to have business activities in Greece, Mergers and Acquisitions are extremely favourable options. The reason is the prompt execution and relative uncertainty due to elimination of bureaucracy, usually required for the setup of a new entity, and the unforeseen outcome for obtaining certain licenses and approvals from public authorities. Local funding constraints are also a strong incentive for transnational M&A activity in Greece and a potential tool for the sustainable growth of the Greek economy. Therefore, M&As – as a tool for implementing either horizontal growth (external) or vertical integration strategies – are and could continue be increasingly significant in the Greek market and economy. Additionally, evaluation methods and techniques, either as an integral part of M&A activity or as an independent service, are in great demand and of critical importance for all stakeholders involved in a M&A.

Course objective

The objective of this course is for all students to develop interdisciplinary skills and analytical, critical, and managerial capacities.

Students are expected: a) to develop teamwork skills since M&As are always the outcome of multitask–multilevel team work; b) to acquire the necessary knowledge and methodology for the analysis, detailed planning, and implementation of M&A decisions; and c) to develop the managerial skills required for risk minimization and stakeholders maximization of their utility as long as Μ&Α is a corporate strategic decision.

On successful completion of the course students will be able to:

• comprehend the framework of corporate structure decision making and the role of M&As for the companies involved, the industry and the economy (in cross-border M&A activity the impact is either transnational or global);

• identify the various types of M&A activity and the underlying motives; predict the expected results at pre-negotiation, MoU, data room, application to competent authorities and final corporate decision stages;
• apply specialized tools and methods for the interdisciplinary analysis of entrepreneurial decisions, evaluation techniques, risk management and M&A decisions;
• identify the strengths and weaknesses of corporations and the opportunities and threats of their external environment in order to consider M&A activity an appropriate strategy for corporate risk management and shareholders’ maximization of their investment (in terms of capital appreciation and capital yield);
• understand the role and importance of institutions and public authorities in M&A activity.
• incorporate into their analysis the impact of globalization in decision making and the role of countries’ comparative advantages and disadvantages in attracting Foreign Direct Investment (FDI), transfer of knowhow etc, which results in the development of sustainable economic growth through M&As;
• evaluate an M&A activity, either as a vertical or horizontal growth strategy decision or divestment decision or conglomerate decision or as the last resort solution of a creditor (Leverage Buyout – LBO); and
• prepare projected financial statements based on the assumptions of post M&A operations (reduction of cost elements, increase of market share, optimization of resources etc) for the engagement of all stakeholders in the expected outcome in the short and long run.