Burnsie, you'd better get advice from someone who understands Corporate acquisitions...
because, you sure don't have the slightest clue. The acquiring Company and the acquired, first agree on the terms of the purchase. However, the final price is adjusted in function of the earnings of the subsidiary, as a performance clause, you dummy.
This is very commonly done, so that the purchaser has some recourse if it discovers the actual results don't correspond to what was represented in the first place. Actually, it would seem very fair for both parties, assuming it is the scheme adopted, of course.
F. Goelo + + +
PS: If that doesn't satisfy you, go and ask yourself: show momy you're a big boy now and that you can really do it... |
