Posts Tagged ‘acquisition’

Synergy is…

Tuesday, May 24th, 2011

Synergy, besides being one of those infamous “corporate buzzwords,”  is the combination of at least two things (for example companies or organizations) to produce a financial benefit that’s greater than the sum of its parts.

For example, by purchasing one company, another company might be able to generate more revenue than both companies would have been able to generate if they kept operating separately. (Think Graham Crackers Inc. and Melty Marshmallows LLC being acquired by Hershey’s.)

What Happens When You Tell Google To Take A Hike?

Thursday, December 23rd, 2010

Apparently they fund one of your competitors and DESTROY YOU.

(Back story: Google offered to buy wildly successful Internet coupon company Groupon for $6 billion. Groupon said, “meh.”)

Read the original:
BBC News, 12/21/20: Google eyes smaller players after Groupon: report

Groupon Will Not Be Googled

Monday, December 6th, 2010

They can probably find a better deal anyway.

  • Google allegedly offered $6 billion for the popular online coupon company – the most expensive acquisition in Google history. The initial offer was between $3.5 – 4 billion.
  • Online coupons have never been more popular, and Google was eager to get a piece of the action. They think that advertising locally is about to become really, really big.
  • Groupon is currently owned by a private group of investors, but it may go for an initial public offering (IPO) in 2011.

Facts & Figures

  • Over 33 million people subscribe to Groupon’s daily emails
  • Google is currently sitting on $33 billion in cash and other assets
  • Groupon made $500 million in sales this year – it’s growing at a faster rate than Google or Amazon did

An Acquisition is…

Thursday, August 20th, 2009

An acquisition is the purchase of one company by another. You acquire a company through buying or exchanging stock. Usually it relates to a controlling interest, or more than 50% ownership. For example, if you own 35% of a company’s voting shares and you buy another 20% of the shares from someone else (for a total of 55% ownership), you have acquired that company.