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Best Practices for Due Diligence and Valuation in M&A

Sun Acquisitions

Due diligence and valuation are critical to any successful merger and acquisition (M&A) deal. Valuation: Determining the Fair Valu e Valuation is the process of determining a company’s fair market value. Accurate valuation is essential for successful M&A deals.

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The Unseen Hand: Tariffs and Their Profound Consequences on Mergers & Acquisitions

MergersCorp M&A International

For businesses contemplating strategic transactions, tariffs introduce a complex web of financial, operational, and legal considerations that can fundamentally alter deal viability, valuation, and post-merger integration. Understanding these consequences is paramount for navigating the contemporary M&A environment.

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Delaware Supreme Court Affirms Delaware Court Of Chancery's Use Of Its Own DCF Method To Determine Fair Value After Controller-Directed Cash-Out Merger

Shearman & Sterling

See Shearman & Sterling LLP, Delaware Chancery Court Utilizes DCF Method To Determine Fair Value Of ISN Software Corp.,

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HSBC says CoreWeave shares will drop more than 70% on concerns about customer base

CNBC: Investing

"The continued high capex requirement well beyond the high-growth phase of the company is one of the key reasons behind our low [discounted cash flow] valuation of CoreWeave." " Shares fell more than 3% after the downgrade.

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M&A Blog #16 – valuation (Discounted Cash Flow)

Francine Way

As I mentioned in my last post, Discounted Cash Flow (DCF) is a valuation method that uses free cash flow projections, a discount rate, and a growth rate to find the present value estimate of a potential investment. Perform sensitivity / scenario analysis using Monte Carlo analysis.

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Limitations of discounted cash flow valuation models

Private Equity Info

While the discounted cash flow (DCF) methodology is the most rigorous and financially sound for business valuation, it does have several significant limitations, namely:

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M&A Blog #15 – valuation (tools and data preparation)

Francine Way

Just as any home appraiser or credit officer does before going through the analytical exercise to produce a score for a home or a borrower, valuation professionals go through several steps of preparation before the actual exercise of producing a number that can be used as a value of a company. A 5- or 10- year historical data is preferable.

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