Case Name :      Deutsche Bank Securities: Financing the Acquisition of Consolidated Supply S.A.

Authors :           Robert F. Bruner, Sean Carr

Source :             Darden School of Business

Case ID :           UV1392

Discipline :        Finance

Case Length :    22 pages

Solution Sample availability : YES

Plagiarism : NO (100% Original work)

In November 2003, a vice president of Deutsche Bank Securities received a request from a client to finance the acquisition of a large hospital-supply distributor. The client needed to present to the seller an offering price and indication of financial commitment within two weeks. The contemplated transaction entailed a highly leveraged acquisition of the target. The tasks for the student are to value the target firm and projected synergies, assess the creditworthiness of the target (i.e., the ability to bear the high debt), and critically evaluate the general design of the transaction.