M&A in Investment Banking

Question 1

why do firms interested in M&A approach an investment bank?

Answer 1

investment banks help companies by assisting with various aspects of m&a including due diligence, valuation etc

sometimes an investment bank will approach the client

Question 2

sell side M&A deals?

Answer 2

my company’s for sale and I want to sell it for a reasonable price, then approach an IB

Question 3

buy side m&a deals?

Answer 3

set of compaanies that are interested in purchasing companies

Question 4

role of investment banks in due dilligence?

Answer 4

analysing the target’s financial information

analysing historical and projected financial results via financial modelling

assessing operations

evaluate potential synergies in an M&A

identifying potential concerns

Question 5

what is a pitch book?

Answer 5

a presentation detailing a snapshot of the potential targets for clients

e.g., showing clients a list of potential targets to merge with

Question 6

what does a sell side pitch book contain?

Answer 6

overview

info about industry

company profile (valuations etc)