CFO Paradigm · Example company: Cawan's Shoes
Capital & Markets

Mergers & Acquisitions

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What it means

Combining or buying companies to gain scale, capabilities, or markets.

Why it matters

Can accelerate strategy — or destroy value if synergies don't materialize.

How to calculate — with Cawan's Shoes

Deal Value = Offer × Shares. Accretive if buyer P/E > target P/E. Cawan's buys SoleTech for $300M expecting $30M synergies.

What's at stake if you ignore this

70% of M&A destroys value. Diligence and integration matter more than the deal.