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Only problem is that a lot of research has been done that show that M&A deals typically leads to destruction of shareholder value.

[1]http://www.efinancialnews.com/story/2012-01-24/large-mergers...

[2]http://www2.warwick.ac.uk/fac/soc/wbs/subjects/accountinggro...

[3]http://www.evancarmichael.com/library/stephen-warrilow/Merge...




No. The goal of M&A is to increase shareholder value, if the data said acquisitions generally do not do that, we would not have M&A. Your links simply show that some M&A scenarios (major acquisitions, acquisitions that are overpaid for, etc) lead to underperformance, not that M&A as an overarching thing "typically leads to the destruction of shareholder value." Nowhere do those articles say that.


We have M&A because it leads to value creation for management. They like their empires to grow.


On top of other commenter's remarks, notice I specifically said to acquire companies holding monopolies over aspects of Apple's competition plus opportunities for expansions of current strategies. Hard to imagine a HP/Compaq failure scenario here. Just lost money which the company might loose anyway. Locking in long-term success more might be worth that, though.




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