Financial Management - Merger and Acquisition

Souvik Mondal

A4018962

Table of Contents

INTRODUCTION 3

GLOBAL PRESENCE 4

STRATEGY BEHIND 5

VALUATION 7

PAYEMENT 10

POISON PILL 12

REFERENCE 15

Square D ACQUISITION

INTRODUCTION

Schneider Electric

Founded in 1782, Schneider is one of the largest and most prominent multinational enterprises in France. In 1990, with its 85,000 employees working in plants and sales outlets in more than 115 countries, the company had French Franc (FF) 49.7 billion ($9.7 billion) in sales, and a net income of FF 924 million ($180 million). These were derived from a few core activities and four key subsidiaries:

(1) electrical power equipment (Merlin Gerin) (1992);

(2) Industrial controls and automation equipment (Telemecanique) (1988)

(3) Nuclear power equipment and propulsion systems (Jeumont-Schneider Industrie);

(4) Electrical engineering/ contracting (Spie Batignolles).

Business Segments: 1990 |

Merlin Gerin | Telemecanique | Jeumont-Schneider Industrie | Spie Batignolles |

Power transformation transmission and | Automation of industrial control | Nuclear reactant coolant pump sets. | Electrical engineering and contracting |

Extra high, medium voltage and low voltage equipment for industrial, commercial and residential users. | Industrial control components. | Navy propulsion systems | Industrial engineering development and implementation of manufacturing facilities |

Building maintenance | Industrial control and protection of electrical motors | Nuclear power plant and marine maintenance | Contracting, civil engineering, construction, real estate development |

Safeguarding electrical power users and their property. | Prefabricated busbar distribution | Power electronics and industrial dive systems |   |

Power supply reliability and continuity |   |   |   |

Sales: FF 18.2 bn | Sales: FF 9.98 bn | Sales: FF 1.3 bn | Sales: FF 22.5 billion |

Net income: FF 886 mn | Net income: FP 502 mn | Net income: FF 61 mn | Net...