Acquisition Premium

Acquisition Premium

The difference between the estimated value of a target company and the price the acquiring company pays to buy it. The acquisition premium may be either above or below the original estimate and comes from revised estimates and changes in the acquisition agreement.
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While he agrees that some degree of acquisition premium should be factored into Lionsgate shares, Swinburne contends that for a hypothetical traditional media buyer there likely would be minimal accretion given the stock's current premium multiple, he added.
It represents a fairly sizeable acquisition premium on Westar stock, collared, to some extent, but its still a lot of money.
The IRS issued final and temporary regulations providing rules for brokers to report bond premium and acquisition premium as well as governing information reporting of transactions involving debt instruments and options.
In addition, given that the purchase price represents a 26% acquisition premium (21.
Assuming that a target firm is sophisticated enough to recognize the transience of acquirer's abnormal accruals, the non-cash acquisition premium, which is the final product of the bargaining process in an M&A deal, should reflect the target's adjustment to the acquirer's share value.
Multiple elections are available to holders of debt instruments regarding the computation and/or recognition of original issue discount (OID), acquisition premium, and secondary market discount and premium, all of which affect the holder's basis in the security.
The agreement calls for certain operating and reporting requirements relating to gas supply, safety, service quality and financial condition; no recovery of acquisition premium or transaction costs, but allows future recovery of certain one-time integration costs; and establishes the timing and parameters for both the pending 2013 MGE general rate case filing and the next general rate case filing for Laclede Gas, subject to certain exceptions.
Finally, they do not measure the impact of accelerated vesting on the acquisition premium, as we do here.
FD 35506 will also solicit public opinion regarding the effect of Berkshire's non-compliance on its $8 billion acquisition premium, as well as the legal and accounting principles that should govern acquisition premiums within rail mergers; and
Including the acquisition premium when calculating the BNSF's rate of return on 2010 net investments also makes it less likely that STB would find that the railroad was " revenue adequate" under federal law, thereby making it "less likely for captive shippers to obtain relief in BNSF rate cases," the petitioners stated.
Jim McKerlie, the Chairman of CER, stated "This is a great result for the shareholders of Circumpacific providing them with full liquidity at an attractive acquisition premium.
If the holder purchased the debt instrument at a premium or an acquisition premium or made an election to treat all interest as original interest discount, the amount of original issue discount must be adjusted.
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