Corporate growth Flashcards

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1
Q

Find a synonym and translate “acquisition”.

A

Synonym: takeover
Translation: prevzem, pripojitev

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2
Q

Define and translate “merger”.

A

Definition: a joining of two or more companies resulting in a new company
Translation: združitev, spojitev

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3
Q

Define and translate “joint venture”.

A

Definition: two or more companies cooperate in a project or enterprise; they share the investment and the profit/loss, but remain separate entities
Translation: skupno vlaganje

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4
Q

What do we call a company buying another company? Translate it as well.

A

An acquirer or a bidder, prevzmenik / prevzemno podjetje.

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5
Q

What is a target (target firm)? Translate it as well.

A

A company to be taken over because of its assets, cash, or business potential.
Translation: ciljno podjetje, tarča.

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6
Q

Translate “majority stake”.

A

Kontrolni/večinski delež.

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7
Q

Define and translate “management buyout (MBO)”.

A

Definition: managers of a company buy a controlling stake (share, interest) in the company.
Translation: managerski/notranji odkup.

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8
Q

Define and translate “raider”.

A

Definition: a company making a hostile takeover.
Translation: sovražni prevzemnik.

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9
Q

Define and translate “hostile takeover”.

A

Definition: an acquisition that is opposed by the management of the target company.
Translation: sovražni prevzem.

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10
Q

Define and translate “friendly takeover”.

A

Definition: an acquisition that is welcomed by the management of the target firm.
Translation: prijazni prevzem.

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11
Q

Define and translate “takeover bird”.

A

Definition: making an offer to the target company’s shareholders to buy their shares.
Translation: ponudba za prevzem.

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12
Q

Define and translate “due diligence”.

A

Definition: careful investigation of a potential investment.
Translation: skrbni pregled.

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13
Q

Define and translate “company valuation”.

A

Definition: determining the value of a company.
Translation: vrednotenje podjetja.

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14
Q

Define and translate “market capitalization”.

A

Definition: the market value of all company stocks.
Translation: tržna vrednost podjetja.

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15
Q

Define and translate “leveraged buyout (LBO)”.

A

Definition: buying a controlling stake of a company by using a large amount of borrowed money (up to 90%).
Translation: odkup podjetja z zadolžitvijo.

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16
Q

Define and translate “competition/antitrust legislation”.

A

Definition: laws concerning anti-competitive concentrations of market power.
Translation: protimonopolna zakonodaja.

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17
Q

Define and translate “vertical integration”.

A

Definition: a company buying out its suppliers and/or customers.
Translation: vertikalni/navpični prevzemi.

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18
Q

Define and translate “horizontal integration”.

A

Definition: a combination of two companies producing similar goods or services.
Translation: horizontalni/vodoravni prevzemi.

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19
Q

What does the example illustrate?

Gorenje entered new markets and launched several new products.

A

Diversification.

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20
Q

What does the example illustrate?

The company is more efficient; it has higher output and lower costs per unit of output.

A

Economies of scale.

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21
Q

What does the example illustrate?

The Competition Protection Office clears acquisitions or mergers.

A

Competition authorities.

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22
Q

What does the example illustrate?

The value of company equity per share was reduced.

A

Diluting share capital.

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23
Q

What does the example illustrate?

Time Warner is a large group combining very different types of businesses.

A

Conglomerate.

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24
Q

What does the example illustrate?

Manufacturing household appliances is Gorenje’s most important activity.

A

Core business.

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25
Q

What does the example illustrate?
Senora Plc bought a company in the town centre, closed production, and sold the land and buildings for the new housing estate.

A

Asset stripping.

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26
Q

What does the example illustrate?

Gorenje and Sistemska Tehnika work together on several projects.

A

Joint venture.

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27
Q

What does the example illustrate?

The company has the dominant position in the soft-drink market and determines the conditions on the market.

A

Monopoly.

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28
Q

What does the example illustrate?
The GlsxoSmithKline merger resulted in a combined performance of companies that is better than the sum of their separate performances.

A

Synergy.

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29
Q

What does the example illustrate?

JP Morgan suggested splitting the conglomerate into three companies.

A

De-merger.

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30
Q

Provide a noun, a subject, and an adjective for the following verb: acquire.

A

Noun: acquisition,

subject: acquirer, acquiree,
adjective: acquisitive.

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31
Q

Provide a noun for the following verb: take over.

A

Takeover.

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32
Q

Provide a noun for the following verb: merge.

A

Merger.

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33
Q

Provide a noun and a subject for the following verb: bid.

A

Noun: bid,
subject: bidder.

34
Q

Provide a noun and a subject for the following verb: offer.

A

Noun: offer,
subject: offerer, offeree.

35
Q

Provide a noun and a subject for the following verb: raid.

A

Noun: raid,
subject: raider.

36
Q

Provide near synonym for “acquisition”.

A

Takeover, buyout.

37
Q

Provide near synonym for “joint venture”.

A

Strategic alliance, partnership.

38
Q

Provide near synonym for “controlling interest”.

A

Majority stake.

39
Q

Provide near synonym for “bidder”.

A

Acquirer, offerer.

40
Q

Provide near synonym for “to merge with”.

A

To combine with, to joint with.

41
Q

Find two mistakes in the following sentence: Mercator brought a 13% interests in M-Rodič d.o.o.

A

Bought, interest.

42
Q

Find two mistakes in the following sentence: Armani diversed into home furnishing with its brand Armani Casa.

A

Diversified, brand.

43
Q

Find two mistakes in the following sentence: They want to acquisition their biggest competitioner.

A

Acquire, competitor.

44
Q

Find two mistakes in the following sentence: Why did Sony Music merger with BMG? To acheive economies of scale.

A

Merge, achieve.

45
Q

What does the following abbreviation stand for: DD?

A

Due diligence.

46
Q

What does the following abbreviation stand for: LBO?

A

Leveraged buyout.

47
Q

What does the following abbreviation stand for: MBO?

A

Management buyout.

48
Q

Translate “ciljno podjetje, tarča”.

A

Target company, targeted company.

49
Q

Translate “odpuščanje delavcev”.

A

Layoffs, redundancies.

50
Q

Translate “notranja rast podjetja”.

A

Internal growth.

51
Q

Translate “povečana učinkovitost”.

A

Increased efficiency.

52
Q

Translate “skupno vlaganje”.

A

Joint venture.

53
Q

Translate “economies of scope”.

A

Ekonomija dejavnosti.

54
Q

Translate “economies of scale”.

A

Ekonomija obsega.

55
Q

Translate “antitrust law”.

A

Zakon o preprečevanju omejevanja konkurence.

56
Q

Translate the following sentence: “Prevzemi so najhitrejša oblika rasti podjetij.”.

A

Acquisitions are the fastest manner of company growth.

57
Q

Translate the following sentence: “Cilj horizontalnih prevzemov in združitev je ustvarjanje monopolov.”.

A

The goal of horizontal mergers and acquisitions is creation of monopolies.

58
Q

Translate the following sentence: “Financiranje prevzema lahko poteka z denarjem ali vrednostnimi papirji.”.

A

The acquisition can be financed with cash or securities.

59
Q

Translate the following sentence: “Delničarji ciljne družbe prodajo delnice in dobijo premijo.”.

A

The target company’s shareholders sell their shares and receive a premium.

60
Q

Translate the following sentence: “Premija je razlika med ceno izplačane delnice in njeno tržno ceno.”.

A

A premium is the difference between the share price that is paid out and its market price.

61
Q

Find a word or expression:

The increased worth of something: a____ _____.

A

Added value.

62
Q

Find a word or expression:

Additional advantages that are produced by two companies combining their resources: s______.

A

Synergy.

63
Q

Translate “reverse takeover”.

A

Prevzem velike družbe s strani majhne.

64
Q

Translate “product diversification”.

A

Proizvodna diverzifikacija.

65
Q

Translate “management buyout”.

A

Notranji odkup podjetja.

66
Q

Translate “M&A (business combinations)”.

A

Prevzemi in združitve.

67
Q

Translate “due diligence”.

A

Skrbni pregled.

68
Q

Complete the following by supplying the missing preposition:
TFA is in exclusive talks ____ French investment fund F33 to sell a majority stake ____ its gas distribution network.

A

With, in.

69
Q

Complete the following by supplying the missing preposition:
National Engineering entered ____ an agreement to sell its equity in Legacy Reserves.

A

Into.

70
Q

Complete the following by supplying the missing preposition:
On Monday the bidder withdrew ____ his offer to buy Mura.

A

No missing preposition.

71
Q

Complete the following by supplying the missing preposition:

According to reports from The Wall Street Journal, merger talks are underway ____ IBM and Sun Micro.

A

Between.

72
Q

Complete the following by supplying the missing preposition:
If the merger goes ____ it will create a mega bank with over 30 million customers.

A

Ahead.

73
Q

Complete the following by supplying the missing preposition:
The company would dominate the market and this is ____ the public interest.

A

Against.

74
Q

Provide a metaphor or an idiom related to explanation: a target company with great potential.

A

Sleeping beauty.

75
Q

Provide a metaphor or an idiom related to explanation: an acquiring company that makes a hostile takeover bid.

A

Black Knight, raider.

76
Q

Provide a metaphor or an idiom related to explanation: a company that makes a friendly bid, a friendly bidder.

A

White Knight.

77
Q

Provide a metaphor or an idiom related to explanation: to announce a merger.

A

To announce a marriage plan.

78
Q

Provide a metaphor or an idiom related to explanation: to discourage a hostile takeover by making its stock less attractive and offering it to shareholders at a discounted price.

A

To take a poison pill.

79
Q

Provide a metaphor or an idiom related to explanation: a company’s most valuable assets.

A

Crown jewels.

80
Q

Provide a metaphor or an idiom related to explanation: buying a company’s shares on the stock exchange.

A

Dawn raid.

81
Q

Express contrast with a clause of concession.

The deal is off. There still might be further negotiations.

A

Although the deal is off, there still might be further negotiations.

82
Q

What are some guidelines for a successful merger?

A

Good preparation, good communication, making efforts to keep staff happy, consideration of the other company’s culture, quick action, loyalty, and mutual support.