ABC Construction Corporation is planning to purchase STUVW Mining Corporation which is owned by S, T, U, V and W equally. ABC offered P2,000,000 each to S, T and U to obtain majority stake in STUVW. All parties agreed to this decision. 1. Kind according to purpose (Choose 1) a. Horizontal b. Vertical c. Product Extention d. Market Extension e. Congeneric f. Conglomerate 2. Kind according to approach to the target firm (Choose 1) a. Friendly b. Hostile 3. Kind according to acquisition mode (Choose 1) a. Cash b. Equity swap c. Mix of cash and equity swap

EBK CONTEMPORARY FINANCIAL MANAGEMENT
14th Edition
ISBN:9781337514835
Author:MOYER
Publisher:MOYER
Chapter23: Corporate Restructuring
Section: Chapter Questions
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ABC Construction Corporation is planning to purchase STUVW Mining Corporation which is owned by S, T, U, V and W equally. ABC offered P2,000,000 each to S, T and U to obtain majority stake in STUVW. All parties agreed to this decision.

1. Kind according to purpose (Choose 1)

a. Horizontal
b. Vertical
c. Product Extention
d. Market Extension
e. Congeneric
f. Conglomerate

2. Kind according to approach to the target firm (Choose 1)
a. Friendly
b. Hostile

3. Kind according to acquisition mode (Choose 1)

a. Cash
b. Equity swap
c. Mix of cash and equity swap

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