A privately held U.S. pipes parts manufacturer is negotiating the purchase of a Brazilian pipes maker specializing in water conservation. The case provides adequate information to value this cross-border acquisition and contains a simple summary of valuation techniques in this context.
A particularly rich discussion appears from two points: A prediction of exchange rates from a forecasting firm differs from predictions based on inflation, and two approaches are proposed for dealing with state risk (sovereign spread and scenario analysis).
PUBLICATION DATE: April 03, 2009 PRODUCT #: UV2541-HCB-ENG
Milagrol Ltda. Case Study Solution
This is just an excerpt. This case is aboutĀ GLOBAL BUSINESS