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Case Study

Steady Growth, Inc. (D): The acquisition strategy

By Paul Strebel

2 pages

April 1998

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Reference: IMD-1-0167

A company with strong earnings growth has a declining P/E multiple. The financial VP considers a series of alternatives for boosting the P/E. This 4-part case series illustrates the impact of financial policy on company value.

Keywords

Financial Policy, Value Creation

Settings

Late 1990s

Type

Generalized Experience

Available Languages

English

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This case study is part of a series

Steady Growth, Inc. (A): The P/E problem
Steady Growth, Inc. (B): The hurdle rate issue
Steady Growth, Inc. (C): The leverage gambit
Steady Growth, Inc. (D): The acquisition strategy

This case study is part of a series

Steady Growth, Inc. (A): The P/E problem
Steady Growth, Inc. (B): The hurdle rate issue
Steady Growth, Inc. (C): The leverage gambit
Steady Growth, Inc. (D): The acquisition strategy

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