...Takeovers and mergers are complex transactions where many things can go wrong and therefore affect the success or failure of the deal. Integration planning is an important part of the takeover process, although there are other potentially significant factors that affect whether a takeover is successful which also need to be considered. (knowledge/ evaluation) Integration planning refers to a process in which the buying business (the acquirer) identifies how it will run the takeover target once the transfer of ownership has been completed. Integration involves many functional challenges such as how to manage customer reaction to the takeover, handle uncertainty amongst employees and integrate potentially different computer systems. Key strategic issues also arise – for example decisions over the future of competing brands, key business locations and the senior management structure. (application) Integration planning normally takes place before the transaction is completed with the aim of ensuring that the acquirer has a clear idea of the integration issues and a realistic action plan of how these issues can be addressed. It can be seen therefore that good integration planning can reduce the risks involved. (knowledge/ analysis) One reason why integration planning is important (evaluation) in determining the success of a takeover is that the process of integration is closely tied in with the need to achieve synergies. Synergies include cost savings and additional revenues...
Words: 1388 - Pages: 6
...Assignment: 3 History of ABN AMRO 3 ABN AMRO bank nowadays 4 Establish the need: 5 Need for internal research and information: 5 Need for external research and information: 5 Define the problem 6 Determine objectives 7 Determine research design 7 Exploratory research 7 Descriptive research 8 Causal research 9 Determine information types and sources 9 Figure out the ways to access the data 10 Design data collection instruments 11 Determine sample size and protocol 12 Final steps: 13 Collect Data 13 Analyze data 13 Prepare report 13 Final words: 13 Introduction The Assignment: The purpose of this paper is to find out how to investigate and answer the following question: Should ABN AMROenter the African market?ABN AMRO wants to enter the African market through Nigeria, but they believe that there might be some negative points and possible setbacks in Nigeria. On the other hand,ABN AMRO believes that Nigeria might offer great opportunities within its market where political forces regulate the flow of money in order to generate economic growth. If the results of the research are positive and ABN AMRO should enter the African market, the following sub-question should be asked as well: Should the focus of ABN AMRO in Nigeria be on either investment banking or usual multi-purpose banking? History of ABN AMRO ABN AMRO was founded in The Netherlands in the year 1991 as a result of a merger of the banks ABN and AMRO. ABN AMRO had a strong position...
Words: 3408 - Pages: 14
...1. Introduction ‘Business Continuity at ABN Amro Bank’ is about implementing a successful BCM Strategy in order to reach maximum benefits against lowest possible costs, by combining internal and external relocation strategies. 2. ABN AMRO Bank ABN AMRO Bank is a multi-national bank, home based in the Netherlands with presence in 26 countries. It provides general services in the client segments Retail Banking, Private Banking and Commercial/Corporate Banking and adds specialised activities such as financing Energy, Commodities & Transport sectors, Clearing and Custody, Factoring and Lease. It stands for Corporate Values ‘Trusted’, ‘Professional’, ‘Ambitious’. The bank is a result of the merges between ‘The Netherlands parts’ of both ABN AMRO Bank and Fortis Bank, in October 2008. 3. BCM Approach ABN AMRO The BCM approach within ABN AMRO is directly related to the BCM Phases as described in the BS 25999. The subdivision of BCM phases differs from BS-25999 - and Good Practices Guideline - to emphasis several phases in the BCM-lifecycle, specifically fully integrated ‘Crisis Management’ and the various phases of BCM Response. For example: since IT Disaster Recovery requires mostly the highest investments within the full scope of BCM and disruptions often are a consequence of failures within this area, it is required to have ‘IT DRP’ as a separate reporting phase to allocate priorities adequately. The definition of phases in the BCM approach support the following BCM processes...
Words: 1276 - Pages: 6
...At the point of writing this essay the ABN AMRO bank finds itself in the middle of a grim take-over. After many years of underperforming stock, the shareholders lost confidence in the bank’s strategy and called for action. The bank that was so focussed on delivering shareholders value now finds itself victim of the same shareholders. How could this have happened? This essay will analyse the strategies that ABN AMRO has followed and try to explain why these strategies have not made ABN AMRO a successful company but a prey for take-overs instead. It will conclude with a discussion on if ABN AMRO could have been successful at all and hence could have secured its future as a proud Dutch bank with great historical background. History of strategies pursued by ABN AMRO Since its beginning of its existence in 1824 ABN AMRO has gone through a lot of changes. To understand the position the bank is in now, I will start describing the history of strategy starting from the moment of the merger between the ABN bank and AMRO bank in 1991. Era of expansion (1991-2000) In the early days right after the merger of ABN and AMRO bank in 1991 the strategy of the bank was focussed on consolidation. When looking at the list of investments and divestments done since 1992 , one can see that all up to the year 2000 the ABN AMRO bank mainly done acquisitions. The acquisitions were targeted on acquiring new business in the investment banking activities and expanding international presence. This expansion...
Words: 3514 - Pages: 15
...Examination Paper: Finance Management IIBM Institute of Business Management Examination Paper International Financial Management Section A: Objective Type (30 marks) This section consists of Multiple choice & Short Answer type questions. Answer all the questions. Part One questions carry 1 mark each & Part Two questions carry 5 marks each. Part One: Multiple choices: 1. Foreign exchange market in India is relatively very a. Big b. Small c. Medium d. None of the above 2. Balance of payment is a systematic record of all _______ during a given period of time. a. Political transactions b. Social transactions c. Economic transactions d. None of the above 3. Merchandise trade balance, services balance & balance on unilateral transfer are the part of ________ account a. Current account b. Capital account c. Official account d. None of the above 4. Interest rate swaps can be explained as an agreement between _________ parties a. One b. Two c. Three d. None of the above 5. Capital account convertibility in India evolved in August a. 1996 b. 1995 c. 1994 d. None of the above MM.100 1 IIBM Institute of Business Management Examination Paper: Finance Management 6. Interest rate parity is an economic concept, expressed as a basic algebraic identity that relates a. Capital rate & interest rate b. Interest rate & exchange rate c. Currency rate & exchange rate d. None of the above 7. The two kind of swap in the forward market are a. Forward & reverse swap b. Reverse swap & option...
Words: 2328 - Pages: 10
...In a game theoretic perspective: Ghemawat, in his article talks about the strategies that companies need to adopt when they want go international. The actions that companies take to achieve this can be linked with the game theory. Every company tries to adopt strategies to gain a competitive edge in the market. And game theory talks about what kind of approaches they can take to direct success and profit towards themselves and increase their hold in the market. We can try to link every move of a company to one of the factors in the game theory namely changing the player, changing the Added value, changing the rules, changing the tactics and changing the scope. This might result in a win-win or win-lose relationship between companies. In addition to this few companies also adopt strategies that change the entire game that they play in the market. Let us take the example of one of the companies that tried to adopt Arbitrage, as pointed out by Ghemawat, TCS managed to beat out its Indian competitors and won the deal with ABN AMRO which generated more than hundred million dollars to the company. TCS was able to achieve this largely because it was the only Indian vendor positioned to deploy several hundred professionals to meet the application development and maintenance needs of ABN AMRO. TCS’s huge bench strength was the added advantage in this game. Thus TCS played the game of changing its added value. TCS managed to increase its added value in the IT market by have hundreds of...
Words: 713 - Pages: 3
...Examination Paper of Finance Management 1 IIBM Institute of Business Management IIBM Institute of Business Management Examination Paper MM.100 International Finance Section A: Objective Type & Short Questions (30 Marks) This section consists of Multiple choice & Short Note type questions. Answer all the questions. Part One carries 1 mark each & Part Two carries 5 marks each. Part One: Multiple choices: 1. Foreign exchange market in India is relatively very ________. a. Big b. Small c. Medium d. None of the above 2. Balance of payment is a systematic record of all _______ during a given period of time. a. Political transactions b. Social transactions c. Economic transactions d. None of the above 3. Merchandise trade balance, services balance & balance on unilateral transfer are the part of ________ account. a. Current account b. Capital account c. Official account d. None of the above 4. Interest rate swaps can be explained as an agreement between _________ parties. a. One b. Two c. Three d. None of the above 5. Capital account convertibility in India evolved in August a. 1996 b. 1995 c. 1994 d. None of the above 6. Interest rate parity is an economic concept, expressed as a basic algebraic identity that relates. a. Capital rate & interest rate b. Interest rate & exchange rate Examination Paper of Finance Management 2 IIBM Institute of Business Management c. Currency rate & exchange rate d. None of the above 7. The two kind of...
Words: 1072 - Pages: 5
...w areHow companies are named? ABN AMRO- In the 1960s, the Nederlandse Handelmaatschappij (Dutch Trading Society; 1824) and the Twentsche Bank merged to form the Algemene Bank Nederland ( ABN; General Bank of the Netherlands). In 1966, the Amsterdamsche Bank and the Rotterdamsche Bank merged to form the Amro Bank. In 1991, ABNand Amro Bank merged to form ABN AMRO. Accenture- Accent on the Future. Greater-than 'accent' over the logo's t points forward towards the future. The name Accenture was proposed by a company employee in Norwayas part of a internal name finding process (BrandStorming). Prior to January 1, 2001 the company was called Andersen Consulting. Adidas- from the name of the founder Adolf (Adi) Dassler. Adobe- came from name of the river Adobe Creek that ran behind the houses of founders John Warnock and Chuck Geschke . AltaVista- Spanish for "high view". Amazon.com - Founder Jeff Bezos renamed the company to Amazon (from the earlier name of Cadabra.com) after the world's most voluminous river, the Amazon. He saw the potential for a larger volume of sales in an online bookstore as opposed to the then prevalent bookstores. (Alternative: It is said that Jeff Bezos named his book store Amazon simply to cash in on the popularity of Yahoo at the time. Yahoo listed entries alphabetically, and thus Amazon would always appear above its competitors in the relevant categories it was listed in.) AMD- Advanced Micro Devices. Apache- The name was chosen...
Words: 3479 - Pages: 14
...Global Banking and Capital Markets Hong Kong Disneyland HK$3.3 bn project loan Prof. Ingo Walter 1 Hong Kong Disneyland Borrower Project Cost Infrastructure Start Construction Start Opening HKTP Structure Hong Kong International Theme Parks Limited (HKTP) - owner & operator HK$14 Billion End-2000 End-2002 2005 - HK government 57% plus conversion rights into common for infrastructure development (up to 75% ownership if exercised) - HK$ 3.25 billion - Disney 43% - HK$2.45 billion - HK government sub-debt with repayment starting in Year 16 - HK$6.1 billion - Bank Loan - HK$2.3 billion 15-year non-recourse loan plus HK$1 billion non-recourse revolving working capital loan post-construction – HK$3.3 billion. 2 Mandate - Seeking Disney acting on behalf of HKTP, asks 17 banks to bid and it could mandate upto 3 banks to lead the deal Chase options: No bid Bid to win Bid to lose 3 Chase Options No bid 1. Joint mandate (fee split) 2. Aggressive competition (especially from Bank of China and HSBC) 3. Bad track record (Eurodisney) 4. Credit Issues: 15-year maturity No collateral other than site yet to be built Non-subordination of management fees Desire to use cash flows to grow the project Market risk Force majeure risk 5. Need for fully underwritten deal 4 Chase Options Bid to win 1. Disney important client 2. Marquee deal for the region 3. Chase not a top-10 player in Asian project loans Exh.6a (weak...
Words: 4055 - Pages: 17
...Towers, 6-3-1090/B/1&2 , Rajbhavan Road Somajiguda, Hyderabad | Tel: +91-40-6673 9000 YES TOUCH Phone Banking: +91 9008390909 | Email: contactus@yesbank.in | | | | nabard • | Andhra Pradesh (Hyderabad) | | Shri P Mohanaiah Chief General Manager Andhra Pradesh Regional Office 1-1-61 R.T.C ‘X’ Road Musheerabad Hyderabad – 500 020 Tel: (91) 040 27612640 Fax: (91) 040 27611829 Email: hyderabad@nabard.org BANJARAHILLS | MUTHOOT FINCORP LTD First Floor, No. 10-5-2-7/G/4 Nasa Arcade, BANJARAHILLS Hyderabad - 500 028 Phone: 040-64599654 | | Axis bank Address: #293-82-F/11, Commercial Complex Film Nagar Banjara Hills Hyderabad -500034 Near appolo hospital ABN amro bank Or royal bank of Scotland On the way to city centre RBS Bank Road No 9, Banjara Hills, Andhra...
Words: 251 - Pages: 2
...RBS- takeover by ABN AMRO Consortium bid by 3 banks: Fortis NV, Banco Santander, and Royal Bank of Scotland Contested bid for several months (April 2007 – October 2007) with Barclays Lasalle of Chicago used as poison pill/crown jewel defense mechanism to ward off the hostile, cross border bid Consortium eventually won bid against Barclays but there were elements of risk involved, including excessive focus on profit growth and enlarging shareholder value through reckless, prolonged M&A activity under George Mathewson and his predecessor Fred Goodwin from the late 1990s through October 2008, when the bank was taken into conservatorship by the British government. Fortis was fully nationalized as a consequence of the deal. Bid breakdown: EUR 35.60 in cash (risky short term funding, eroding RBS’s common tier 1 equity position) and .296 RBS shares valued at EUR 71.1 B, excluding the sale of Lasalle. Net of the sale of Lasalle, RBS’s consideration was ~16 billion. Complex structure of consortium (RFS Holdings) may have masked risks and contributed to investor skittishness and erosion of confidence. This, combined with RBS’s role as lead consortium partner led to it absorbing the downside liquidity and credit risks associated with enormous write downs on ABN AMRO’s toxic assets. Timing of deal highly problematic. Deal occurred in the aftermath of the Northern Rock bank run and just as the global financial crisis, perpetuated by mortgage trading in US subprime investments...
Words: 261 - Pages: 2
...Contents Annual Report Annual Report ABN AMRO Group N.V. 2011 Notes to the reader Introduction This is the Annual Report for the year 2011 of ABN AMRO, which consists of ABN AMRO Group N.V. and its consolidated subsidiaries. The Annual Report consists of the Managing Board report, Supervisory Board report, and the Consolidated Annual Financial Statements. Presentation of information The financial information contained in this Annual Report has been prepared in accordance with International Financial Reporting Standards (IFRS) as adopted by the European Union (EU). This Annual Report is presented in euros (EUR), which is the presentation currency of ABN AMRO, rounded to the nearest million (unless otherwise stated). All year-end averages in the Annual Report are based on month-end figures. Management does not believe that these month-end averages present trends materially different from those that would be presented by daily averages. Certain figures in this document may not tally exactly due to rounding. In addition, certain percentages in this document have been calculated using rounded figures. As a result of the integration, the current segment reporting is still subject to minor changes. This report can be downloaded from abnamro.com For more information, please go to abnamro.com/ir or contact us at investorrelations@nl.abnamro.com ABN AMRO Group N.V. Gustav Mahlerlaan 10, 1082 PP Amsterdam P Box 283, 1000 EA Amsterdam .O. The Netherlands Telephone:...
Words: 65892 - Pages: 264
...Friday 29 June 2007 Change of recommendation Reliance Industries Earnings to provide a reality check We downgrade RIL to Sell with a target price of Rs1,300. We believe consensus valuation of its E&P assets is too aggressive. The stock also looks expensive on earnings multiples, given our cautious view on the commodity cycles and belief in rupee appreciation. Key forecasts FY05A Revenue (Rsm) EBITDA (Rsm) Reported net profit (Rsm) Normalised net profit (Rsm)¹ Normalised EPS (Rs) Dividend per share (Rs) Dividend yield (%) Normalised PE (x) EV/EBITDA (x) Price/book value (x) ROIC (%) 1. Post-goodwill amortisation and pre-exceptional items Accounting Standard: Local GAAP Source: Company data, ABN AMRO forecasts Sell n/a Neutral (from Hold) Absolute performance Short term (0-60 days) Market relative to region Integrated Oil & Gas India Price Rs1700.00 FY06A 812113 144050 96046.9 96046.9 78.5 10.0 0.59 21.6 17.6 6.60 13.0 FY07F 1053630 182100 115113 115113 94.1 11.0& 0.65 18.1 14.6 4.29 17.5 FY08F 982038 FY09F 927646 660513 126574 75716.4 75716.4 61.8 7.50 0.44 27.5 19.6 5.18 9.74 Target price 181809& 210725% 122300% 137078% 122300 100.0% 12.0 0.71 17.0& 15.0 3.48 10.6 137078 106.8% 14.0% 0.82 15.9& 12.3 2.54 10.3 Rs1300.00 (from Rs1250.00) Market capitalisation Rs2.37t (US$57.99bn) Avg (12mth) daily turnover Rs1376.07m (US$31.05m) Reuters Bloomberg RELI.BO RIL IN year to Mar, fully diluted Limited earnings growth We estimate...
Words: 18586 - Pages: 75
...traced to the Italian ‘banca’, ‘banc’ or ‘banque’, which means a bench. It is stated that in Middle Ages the European money changers and moneylenders displayed their coins on their benches and conducted their business. Hence the term bank refers to the bench on which the business of money changing and money lending was conducted. Hence, the term banking is defined as accepting for the purpose of lending or investment, of deposits of money from the public repayable on demand or otherwise and withdrawal by cheque, draft, and order or otherwise. In the recent past, the Indian banking system has been undergoing major changes that have affected both its structure and the nature of strategic interaction among banking institutions. Different strategies have been adopted to tackle the demands of this new operating...
Words: 4687 - Pages: 19
...Our Purpose We are specialists. We focus on markets where we make a real difference. We distinguish ourselves with our niche-based strategy. We aim to be the best-managed bank with dominant presence in our chosen businesses. We deploy a local strategy and execute with the discipline of a global player. We are driven by highly-motivated and innovative professionals. We strive to meet the exacting standards of our customers. We are a high performance bank. We create value by effectively managing risks. We are CTBC Bank. Our Strategy We are Family. We live the CTBC Bank values - Caring Trustworthy Professional We commit to our… Customers, to delight them with products and services that enhance their financial well-being and consistently exceed their expectations Officers and Staff, to create a work environment characterized by career development and meritocracy that rewards “Best of Breed” Shareholders, to create value by optimizing the returns on their investment Community, to share our resources and encourage the personal involvement of our employees in caring for the needs and improving the lives of the people in our communities Government, to behave like a good corporate citizen, transparent in our actions, compliant with laws and contributing to the national economy Business Partners, to foster lasting and mutually beneficial relationships. CARING FOR THE COMMUNITY "We are Family" goes beyond the confines of the Bank. Much more than a brand promise,...
Words: 2274 - Pages: 10
