| dc.description.abstract | In recent years, Merger and Acquisition (M&A), has been developing very fast in the
value and number of deals. The aim of this research is to investigate the competition
between Vietnam Oil Corporation (PVOIL) and Sai Gon Petro Company Limited
(SGP) in acquiring Materials-Petroleum Joint Stock Company Oil (COMECO),
specifically about the acquisition decision between PVOIL and COMECO. Several
models and methods are applied in order to find the intrinsic value of COMECO as a
stand-alone firm and as a merged firm. Being merged into PVOIL, COMECO may
receive potential additional value from the acquisition by PVOIL. The analysis and
valuation based mainly on the data and information sources given by the valuation
process and the interviews with key personnel in PVOIL.
The findings of the research are that the merge may bring significant benefit to
COMECO. The discussion further expands to the fact that price fluctuation after the
announcement has not reached to reflect the premium due to the nature of the
negotiation process, the bargaining power of PVOIL and its timing of the market.
This research with its interesting findings, are expected to give the managers of
COMECO and PVOIL clearer views about valuation, benefits and costs realized from
the acquisition, so that they can proceed with suitable strategies to make more benefit
from the deal. | en_US |
