The Acquisition Of Anadarko By Chevron Discounted Cash Flow Analysis
DOWNLOAD
Download The Acquisition Of Anadarko By Chevron Discounted Cash Flow Analysis PDF/ePub or read online books in Mobi eBooks. Click Download or Read Online button to get The Acquisition Of Anadarko By Chevron Discounted Cash Flow Analysis book now. This website allows unlimited access to, at the time of writing, more than 1.5 million titles, including hundreds of thousands of titles in various foreign languages. If the content not found or just blank you must refresh this page
The Acquisition Of Anadarko By Chevron Discounted Cash Flow Analysis
DOWNLOAD
Author : Dominik Heller
language : en
Publisher: GRIN Verlag
Release Date : 2021-05-05
The Acquisition Of Anadarko By Chevron Discounted Cash Flow Analysis written by Dominik Heller and has been published by GRIN Verlag this book supported file pdf, txt, epub, kindle and other format this book has been release on 2021-05-05 with Business & Economics categories.
Bachelor Thesis from the year 2020 in the subject Business economics - Investment and Finance, grade: 1.3, University of Mannheim (Chair of Corporate Finance), language: English, abstract: In this thesis, I am going to value Anadarko using the Discounted Cash Flow (DCF) method and applying reasonable assumptions for post-merger synergy effects with Chevron. As validation for my forecast assumptions, which are based on predictions and trends from early 2019, I will include a summary of the overall Oil & Gas industry as well Anadarko’s and Chevron’s positioning alongside the different stages of the value chain. To estimate my cost of capital I will apply the WACC method instead of APV, using the cost of equity and cost of debt as input factors, together with a terminal growth rate instead of an approach with exit multiples. In order to determine how sensitive my results are concerning key input variables like the Weighted Average Cost of Capital (WACC) or the terminal growth rate I will also run a sensitivity analysis. Lastly, I will talk about the synergy estimates used in my calculations and bring them into context with my DCF calculations in order to determine if the transaction would create value for shareholders on both sides of the deal. Although my calculations ultimately lead me to the result that the price originally offered by Chevron was fair, both in regards to Anadarko’s share price prior to the deal announcement as well as the intrinsic value determined by my DCF, the deal would not have benefited shareholders on both sides equally. While Anadarko’s shareholders would have gotten an immediate double-digit price increase, Chevron shareholders would have lost value with the acquisition, despite my calculations including significant synergies of roughly $1bn per year. The goal of my thesis, however, is not only to describe the assumptions, calculations and results of my DCF analysis, but to also bring them into a wider context. On 12th April 2019 Chevron Corporation announced that they have agreed to acquire all outstanding shares of Anadarko Petroleum Corporation for a total consideration of $65 per share. This marked the first major transaction announcement for quite a while in the Oil & Gas (O&G) industry, which previously saw stock prices near their 10-year lows. Despite a good initial reaction from Anadarko’s shareholders, Chevron ended up missing out on the deal, with Occidental Petroleum Corporation, a close peer of Anadarko, buying the company for $76.67 per share.
Techniques For Capital Expenditure Analysis
DOWNLOAD
Author : Thorne
language : en
Publisher: CRC Press
Release Date : 1995-06-28
Techniques For Capital Expenditure Analysis written by Thorne and has been published by CRC Press this book supported file pdf, txt, epub, kindle and other format this book has been release on 1995-06-28 with Business & Economics categories.
This work examines the most important techniques for analyzing the profitability of capital investments. It discusses time value mechanics and financial concepts, including discounted cash flow, return on investment, incremental analysis, cash flow tables, income taxes, depreciation, cost of capital and risk analysis. It provides a broad introducti
The Search For Value
DOWNLOAD
Author : Harvard Business Review Staff
language : en
Publisher: McGraw-Hill
Release Date : 1994-01-01
The Search For Value written by Harvard Business Review Staff and has been published by McGraw-Hill this book supported file pdf, txt, epub, kindle and other format this book has been release on 1994-01-01 with Business & Economics categories.
The Search for Value provides comprehensive techniques & models for determining the cost for a project, division, or company, addressing: discounted cash flow analysis, flotation costs, long-term projects, issues of regulated companies & international projects, & situations when traditional cash flow analyses are not appropriate. Each principle is illustrated by step-by-step examples, & each chapter features an extensive bibliography. The Search for Value launches the Harvard Business School Press' publication of the Financial Management Association Survey & Synthesis Series, which bridges the gap between academic research & practice in finance.
Takeovers And Freezeouts
DOWNLOAD
Author : Martin Lipton
language : en
Publisher:
Release Date : 1978
Takeovers And Freezeouts written by Martin Lipton and has been published by this book supported file pdf, txt, epub, kindle and other format this book has been release on 1978 with Tender offers (Securities) categories.
The Free Cash Flow Approach
DOWNLOAD
Author : Ralph Johann
language : en
Publisher: GRIN Verlag
Release Date : 2008-09
The Free Cash Flow Approach written by Ralph Johann and has been published by GRIN Verlag this book supported file pdf, txt, epub, kindle and other format this book has been release on 2008-09 with categories.
Seminar paper from the year 2005 in the subject Business economics - General, grade: 1.3, California State University, Fullerton, course: Theory of Corporate Finance, 21 entries in the bibliography, language: English, abstract: This paper will deal with the procedure and implementations of firm/stock valuation using FCF approach and WACC - the weighted average cost of capital. On the road, the different approaches and methods of firm valuation, the various inputs of WACC and the final procedure finding the fair market value of the firm using Pro Forma Financial Statements, will be discussed. In this valuation method the two main parts contributing to the final value of the firm are Free Cash Flows (FCF) and the weighted average cost of capital. It is then used the time value of money concept along with some educated guesses about the long term sales growth rate and the long term WACC to apply common capital budgeting rules of project evaluation. Besides that, the paper will shortly discuss the influence of capital structure on a firm's value. It will come out that there is a difference in value whether the company is leveraged and uses debt or not. When it comes to the different inputs of the WACC, a main focus will be on the required rate of return for shareholders. Finding the 'right' beta and an appropriate estimate for the market risk premium are the main issues of that part. Therefore, the CAPM model and its specific determinants will be analyzed. Thereafter, the nature of pro forma financial statements and the different parts of them will be defined. It will be described how the 'free cash flows' are determined and how that leads to the actual valuation procedure. Finally, the paper will focus on the terminal value as probably the most important and affecting part of the calculated firm value and its nature as a perpetuity in an investing perspective. The conclusion will finally deal with a critical assessment of the firm valuation process with the FCF method.
The Relevance Of Discounted Cash Flow Dcf And Economic Value Added Eva For The Valuation Of Banks
DOWNLOAD
Author : Dennis Schön
language : en
Publisher: GRIN Verlag
Release Date : 2007-08
The Relevance Of Discounted Cash Flow Dcf And Economic Value Added Eva For The Valuation Of Banks written by Dennis Schön and has been published by GRIN Verlag this book supported file pdf, txt, epub, kindle and other format this book has been release on 2007-08 with categories.
Bachelor Thesis from the year 2003 in the subject Business economics - Investment and Finance, grade: 1,3 (A), Northumbria University (Newcastle Business School), language: English, abstract: This study investigates the underlying theories and assumptions of two modern capital market-based valuation approaches, the Discounted-Cash-Flow (DCF) and the Economic-Value-Added (EVA) approach, which are nowadays applied principally for industrial and manufacturing firms. This general examination is then transferred into a more specific investigation exploring whether these valuation concepts can be applied to the strongly regulated and more specific field of bank valuation. A questionnaire addressing bank analysts was created to analyse this question. The project indicates that the ideas of shareholder value which have been enforced over the last decade have implemented the need for a more shareholder-focused valuation. The application of DCF is basically attributed to this movement. It is revealed that this concept uses cash flow streams which depict a more realistic picture of an organization's true earning power. Moreover, it employs a discount rate based on the capital market and thus reflecting the yield expectations of the investors. EVA, on the other hand is a relatively new concept, copyrighted in 1994 by Stern Stewart. It highlights an organization's true economic profits. The study examines its components NOPAT, Capital and Cost of Capital, establishes a relation to DCF, points out some general limitations due to the fact that it falls back on accounting figures and critically assesses its dependence on the CAPM whose inherent assumptions of efficient markets that are not transferable into reality, might affect the valuation. The primary research undertaken finally reveals that the concepts of DCF and EVA are basically suitable to be applied to the valuation of banks. However, there are some peculiarities, primarily due to difficulties associated with the defin
Pr Analysis Of British Petroleum
DOWNLOAD
Author : Christopher Ulph
language : en
Publisher: GRIN Verlag
Release Date : 2011-02
Pr Analysis Of British Petroleum written by Christopher Ulph and has been published by GRIN Verlag this book supported file pdf, txt, epub, kindle and other format this book has been release on 2011-02 with categories.
Seminar paper from the year 2010 in the subject Communications - Public Relations, Advertising, Marketing, Social Media, grade: 73, University of Hertfordshire (Business School), course: MA Marketing, language: English, abstract: British Petroleum is an international energy provider with a large degree of focus on both upstream and downstream oil assets and operations as well as continued diversification into alternative energy sources. It has a market capitalization of £117,929 million as at the close of business 29th March 2010. The 'Beyond Petroleum' campaign stemmed from late nineties and early noughties merger (Amoco) and acquisition (the Atlantic Richfield Corporation and Burmah Castrol) activity. BP approached Ogilvy PR with a brief to "Position BP as a new type of global energy company that confronts such difficult issues as the conflict between energy and environmental needs and takes actions beyond what is expected of an oil company." (Ogilvy, 2010 & Leopard, 2010) This 'green-washing' campaign went on to win two PRWeek Campaign of the Year awards in 2001, however in the same breath it did draw public criticisms from environmentally focused organizations citing a cynicism within BP. 'Beyond Petroleum' was a campaign that had twofold objectives looking to both demonstrate that BP were an industry leader with a unique position as a green and socially conscious oil and gas company as well as uniting several recently acquired companies as well as existing employees under one unified banner.
Monthly Energy Review
DOWNLOAD
Author :
language : en
Publisher:
Release Date : 2000
Monthly Energy Review written by and has been published by this book supported file pdf, txt, epub, kindle and other format this book has been release on 2000 with Petroleum industry and trade categories.
China S Equity Risk Premium
DOWNLOAD
Author : Nano Kurzmann
language : en
Publisher: GRIN Verlag
Release Date : 2010-12
China S Equity Risk Premium written by Nano Kurzmann and has been published by GRIN Verlag this book supported file pdf, txt, epub, kindle and other format this book has been release on 2010-12 with categories.
Master's Thesis from the year 2008 in the subject Business economics - Investment and Finance, grade: 1,3, University of Birmingham (Department of Economics), language: English, abstract: Despite the great fall of the Shanghai Stock exchange since the beginning of the year 2008, Chinese equities have performed unimaginably during their young history of existence. This paper aims to answer the question whether these returns are sustainable. The equity risk premium probably provides the most powerful tool to do so. Thus, several techniques are presented to estimate its magnitude. It turns out that some techniques are less and others more suitable in an environment of an emerging country. This paper accumulates evidence that investors must be prepared to receive a much lower reward for their investments.
Profiles Of Foreign Direct Investment In U S Energy
DOWNLOAD
Author :
language : en
Publisher:
Release Date : 1988
Profiles Of Foreign Direct Investment In U S Energy written by and has been published by this book supported file pdf, txt, epub, kindle and other format this book has been release on 1988 with Energy industries categories.