As this blog has mentioned in the past, healthcare mergers and acquisitions are big business in New Jersey. At a time when big healthcare changes are occurring at both the federal and state level these complex business transactions have become front page news. Recently, new rumors have circulated about potential acquisition of another health system.
There are a number of complex business transactions that businesses can choose to be a part of. In particular, when a business is looking to grow, it has a couple of options. A business can start new operations from scratch. To do this, businesses will need to build, purchase and develop new operations to accompany their existing set up. Or, businesses that want to grow can enter into an acquisition agreement with an already existing business. By acquiring a new business, New Jersey businesses can increase their size while taking advantage of an already functioning business set up.
Buying a company is a complex business transaction. Acquiring a new business generally requires months of cautious planning and expert negotiation. In order for some acquisitions to be successful, complex agreements must not only be crafted, but they must be approved by governmental agencies and regulatory bodies. If steps are skipped, missed or improperly handled, acquisitions can very easily fall apart.
When a company is struggling it must change and adapt or face bankruptcy. In this difficult economy, many businesses -- large and small -- are in this predicament. They may be unable to turn enough profit to stay afloat. For companies in this situation, an acquisition can successfully resolve their financial issues. Through an acquisition, another company can take over the struggling business. It can bring an influx of new capital, new customers and help to save jobs.
While many New Jersey companies have been struggling to maintain business as usual during the recession, one company has decided to allow itself to be acquired. A.C. Moore, the Berlin-based arts and crafts company, has agreed to a $40 million acquisition by an arts and crafts distributor, Sbar's Inc.
Antitrust regulators appear to be taking a closer look at the proposed acquisition of Motorola Mobility by Google. Officials for Google and Motorola report they have been asked to supply additional information about the planned acquisition by the antitrust division of the U.S. Department of Justice.
A proposed merger between AT&T and T-Mobile is being challenged in court by antitrust regulators in the U.S. Department of Justice.
AT&T Inc's proposal for the acquisition of T-Mobile USA, a $39 billion merger, has led to pressure on antitrust regulators to quash the plan.
The business world was buzzing this week over the acquisition of EBay-owned Skype by Microsoft Corp. The acquisition was official as of Tuesday. In the deal, Skype was purchased from investors for $8.5 billion.
As discussed in the previous post, Caterpillar Inc. has agreed to purchase Bucyrus International Inc. for $7.6 billion. The deal must still be approved by regulatory agencies. The world's mining equipment makers have been consolidating at a fast rate and the latest deal will speed the trend.