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Maximum premium to be paid – Business Combinations

Forums › Ask ACCA Tutor Forums › Ask the Tutor ACCA AFM Exams › Maximum premium to be paid – Business Combinations

  • This topic has 3 replies, 2 voices, and was last updated 6 years ago by John Moffat.
Viewing 4 posts - 1 through 4 (of 4 total)
  • Author
    Posts
  • May 8, 2019 at 11:14 pm #515370
    hanna
    Participant
    • Topics: 5
    • Replies: 7
    • ☆

    Is the maximum premium paid by the Acquiring firm the same as the additional value created in equity?

    If so what is the minimum premium?

    May 9, 2019 at 6:42 am #515383
    John Moffat
    Keymaster
    • Topics: 57
    • Replies: 54831
    • ☆☆☆☆☆

    Yes – that is the maximum premium.

    The minimum premium is zero!

    May 9, 2019 at 2:39 pm #515418
    hanna
    Participant
    • Topics: 5
    • Replies: 7
    • ☆

    Thank you sir!

    May 9, 2019 at 3:48 pm #515431
    John Moffat
    Keymaster
    • Topics: 57
    • Replies: 54831
    • ☆☆☆☆☆

    You are welcome 🙂

  • Author
    Posts
Viewing 4 posts - 1 through 4 (of 4 total)
  • The topic ‘Maximum premium to be paid – Business Combinations’ is closed to new replies.

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