International M & A, joint ventures, and beyond : doing the deal / David J. BenDaniel, Arthur H. Rosenbloom.

BenDaniel, David J.

Bibliographic record and links to related information available from the Library of Congress catalog
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List of Exhibits	xxiii

PART ONE
CRITICAL ISSUES IN PLANNING AND IMPLEMENTATION	1

Chapter 1
Strategic Choices	3
Laurance R. Newman and Guy F. diCicco
	The Quest for Corporate Growth	3
	Corporate Strategy	5
	International Transactions and Deal Making	9
	Deal-Making Strategy	14
	Privatization-A Deal-Making Opportunity	22
	Joint Ventures and Strategic Alliances in the Era of Globalization	22
	Summary	25

PART TWO
LEGAL ASPECTS	27

Chapter 2
Legal Aspects of Acquiring U.S. Enterprises	29
Paul McCarthy
	Regulatory Framework	29
	Structuring an Acquisition	36
	Documentation	40
	Principal Legal Concerns of the Buyer	44
	Other Legal Matters	50
	Organizing the Acquisition Vehicle	51
	Closing	54
	U.S. Acquisition Legal Checklist	56
	Checklist: U.S. Acquisitions	57

Chapter 3
Legal Aspects of Acquiring Non-U.S. Enterprises	65
Paul McCarthy
	Regulatory Framework	66
	Structuring the Acquisition	70
	Documentation	72
	Principal Legal Concerns of the Buyer: Due Diligence	74
	Organizing the Acquisition Vehicle	80
	Closing	83
	Non-U.S. and Multinational Acquisition Checklist	85
	Checklist: Multinational and Other Non-U.S. Acquisitions	86


PART THREE
ACCOUNTING AND TAX ASPECTS	93

Chapter 4
Accounting Aspects of International Mergers and Acquisitions	95
Michael R. Nanus
	Understanding Financial Information	96
	Evaluating the Target	111
	Postacquisition Considerations	116
	Control-As Evidenced in Financial Reporting and Audit Requirements	117
	Checklist: Evaluating the Target	134
	Appendix 4. 1: Summary of GAAP (by Country)	144

Chapter 5
Tax Aspects of Inbound Merger and Acquisition and
Joint Venture Transactions	151
David R. Tillinghast
	Inbound Mergers and Acquisitions	151
	Summary	162
	Inbound Joint Ventures	162
	Checklist: Mergers and Acquisitions	165
	Checklist: Joint Ventures	170
	Appendix 5. 1: Tax-Free, Taxable. and Hybrid Transactions	172

Chapter 6
Tax Considerations in Acquiring Non-U.S. Enterprises	181
Robert T. Bossart and Jane W. Meisel
	U.S. Tax Accessibility and Tax Deferral	182
	U.S. Foreign Tax Credit Rules	183
	Forms of Transactions	187
	Financing Considerations	195
	Checklist: Tax Considerations in Acquiring Non-U.S. Enterprises	197

PART FOUR
FINANCIAL ASPECTS	203

Chapter 7
International Financing for Cross-Border M&A Transactions	205
Roy C. Smith
	First Steps	206
	The International Bond Market	207
	Summary	240
	Checklist: International Financing for Cross-Border M&A Transactions	241

Chapter 8
Government Assistance in Financing Cross-Border Transactions	245
Kenneth D. Brody and Roberta J. Waxman-Lenz
	OPIC	247
	IFC	248
	EBRD	249
	IIC	250
	Ex-Im Bank	250
	Dealing with Government Financial Institutions	251
	Appendix 8. 1: Financing Investments	253
	Appendix 8.2: Financing Trade	256
	Appendix 8.3: Contact Information	260

Chapter 9
Overview of International Project Finance	265
Scott L. Hoffman
	Introduction to International Project Finance	266
	Financing the Project	271
	Project Risk Identification and Allocation of Responsibility	273
	Credit Enhancement	281
	Checklist: Structuring the International Project Financing	286
	Appendix 9. I: Case Study 1: Example of Financing Structure	291
	Appendix 9.2: Case Study 2: Example of Financing Structure	292


PART FIVE
JOINT VENTURES	293

Chapter 10
Nature of International Joint Ventures and Their Role
in Global Business	295
Vladimir L. Kvint
	Introduction	295
	Operational Issues	306
	IJVs and Their Relationships with Multilateral Financial Institutions
	and National Governmental Agencies	309
	Differences and Similarities in IJVs in Emerging Markets Compared to
	Those in Developed Countries	310
	Special Role of IJVs in the Internationalization of the World Economy	311
	Checklist: Risk Factors to Consider When Choosing Location for an IJV	312

Chapter 11
Legal Aspects of International Joint Ventures and Strategic Alliances	315
Robert F. Ebin
	Forms of Traditional Joint Ventures	315
	When to Use the Joint Venture or Strategic Alliance	320
	Regulatory Framework-U.S. and Abroad	321
	Structuring the Joint Venture	327
	Structuring the Strategic Alliance	331
	Special Problems Relating to Technology Ventures and Alliances	332
	Checklist: International Joint Ventures and Strategic Alliances	334
	Appendix I 1. 1: Manufacturing Joint Venture Partnership Agreement	336
	Appendix 11.2: Strategic Alliance Agreement	345


PART SIX
VALUING COMPANIES AND NEGOTIATING TRANSACTIONS	361

Chapter 12
Pricing and Negotiations	363
Arthur H. Rosenbloom
	Pricing	363
	Negotiation	396
	Checklist: Pricing	404
	Checklist: Negotiation	410


PART SEVEN
SPECIAL TOPICS	419

Chapter 13
Risk Management in Cross-Border Transactions	421
Alexander E. Fisher and Richard M. Inserra
	The Nature of the Transaction	421
	The Operations Review	423
	Specific Areas for Review	425
	Safety and Loss Control	426
	Environmental Issues	427
	Liability of Owners, Directors, and Officers	427
	Government Regulations	428
	Political Risk	428
	The Due Diligence Report	430
	Summary	430
	Checklist: Risk Management	431

Chapter 14
Human Resources Issues in International Mergers and Acquisitions	433
Russell M. Demers
	The Impact of Human Resources Issues on International
	Mergers and Acquisitions	433
	Preacquisition Evaluation	434
	Staffing Strategy	438
	Compensation	440
	Integration of Personnel Information Systems	443
	Transitional Support Mechanisms	444

Checklist:Addressing Human Resources Issues in International

	Mergers and Acquisitions	450

Chapter 15
Postmerger Integration	459
Cynthia N. Wood and Richard Porter
	Key Indicators of Success and Failure	460
	Postmerger Integration Activities	462
	Checklist: Critical Postmerger Integration Considerations	488

References	497

Index	509