W A L L S T R E E T P R E P C O R E M O D E L I N G C O U R S E v W W W . W A L L S T R E E T P R E P . C O M Accretion/Dilution (M&A) Modeling CASE STUDY: APPLE, DISNEY

Accretion/Dilution (M&A) Modeling CASE STUDY: APPLE, DISNEY2 Mergers & Acquisitions Modeling v W W W . W A L L S T R E E T P R E P . C O M Introduction Licensed to Abhinav Dholepat. Email address: The players in M&A • Buyer & seller • Business development, Management & board, Shareholders • Investment bankers • Accounting, Tax & legal, Regulators Licensed to Abhinav Dholepat. Email address: The role of the investment bank in M&A • Advice on optimal terms & structure • Access to capital • Finding buyers/sellers • Most common types of IB engagements • Buy-side engagement • Sell-side engagement • Fairness opinion Licensed to Abhinav Dholepat. Email address: Work often begins long before a deal is in play • Except for hostile transactions, deals are a product of discussions between managements which can take a long time • Investment banks are often pitching M&A ideas • Cultivating relationships (senior bankers) • Pitchbooks & modeling (junior bankers) Licensed to Abhinav Dholepat. Email address: 16-36 weeks Typical time to complete buy-side process Buy-side process and timeline • When the client is the acquirer, the M&A process can roughly be broken out into four stages: • Assessment • Contacting targets and valuation • Pursuing the deal and due diligence