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Accretive Acquisition |
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Accretive Acquisition An acquisition that increases a publicly-traded company's earnings per share. An accretive acquisition occurs when the price-earnings ratio of the acquiring firm is greater than that of the target firm. This means that the target firm's earnings are likely strong; this is often seen as a good investment. An accretive acquisition usually results in a higher share price for the acquiring company. See also: Dilutive Acquisition. Want to thank TFD for its existence? Tell a friend about us, add a link to this page, add the site to iGoogle, or visit the webmaster's page for free fun content. |
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