Identify and attempt to quantify the possible synergies

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Reference no: EM132731938

Case Study - LOBLAW COMPANIES LIMITED - ACQUIRING SHOPPERS DRUG MART

Instructions

Step 1. Define the problem

Be sure to identify the problem and not the symptom of a problem. For example, a decline in sales is a symptom of a problem; you must identify the actual cause of the decline in sales.

Step 2. Formulate alternative solutions and evaluate each alternative

It may be helpful to brainstorm as many solutions as you can and then narrow your list down to three or four solutions you feel are the strongest.

To evaluate alternative solutions, you should consider their strengths (e.g. increased productivity) and their weaknesses (e.g. increased cost).

Step 3. Recommend and justify an effective solution

Be sure to record the reasons why the chosen solution is most effective. In your Case Analysis you must provide a recommendation that is supported by your analysis.

Note: Your analysis may require that you identify more than one problem and develop a set of recommendations.

Step 4. Conclusion and circumvention of potential problems

Summarize the case and key findings. If there could be problems with your recommendations, state them. As well, suggest ways to overcome these problems - A contingency plan to address potential difficulties.

Please answer the below question in the case study
1. Lay out the strategic opportunities for Loblaw in acquiring Shoppers. As part of the analysis, identify and attempt to quantify the possible synergies that may be attained.

2. How much should Loblaw offer for Shoppers? As part of your analysis, place a value on Shoppers utilizing both DCF and comparable methods, as well as using precedent transactions.

3. What form should the offer take, and how should the offer be financed? Support your recommendations on qualitative analysis (a forecast of financial information and ratios is not expected).

Reference no: EM132731938

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