The (failed) Acquisition of Allergan by Pfizer. Multiples Valuation and Event Study Analysis

Inhaltsverzeichnis (Table of Contents)

• 1. Introduction
• 2. Multiples Valuation
  • 2.1 The pharmaceutical industry
  • 2.2 Comparable Companies
  • 2.3 Multiples Selection and Results
• 3. Transaction Multiples Valuation
  • 3.1 Comparable Transactions
  • 3.2 Multiples Selection and Results
• 4. Event Study Analysis - Merger
  • 4.1 Parameter Selection
  • 4.2 Results
• 5. Event Study Analysis - Termination
  • 5.1 Parameter Selection
  • 5.2 Results
• 6. Conclusion

Zielsetzung und Themenschwerpunkte (Objectives and Key Themes)

This bachelor thesis analyzes the failed acquisition of Allergan by Pfizer using valuation methods, focusing on multiples valuation and event study analysis. It aims to provide a comprehensive analysis of the transaction's value and its impact on both companies' stock prices.

• Multiples Valuation: Analyzing the pharmaceutical industry, comparable companies, and transaction multiples.
• Event Study Analysis: Examining the impact of the merger and termination announcements on stock prices.
• Valuation Methods: Comparing and contrasting different valuation techniques.
• Pharmaceutical Industry Dynamics: Exploring factors influencing the pharmaceutical industry's landscape.
• M&A in Pharmaceuticals: Analyzing the strategic considerations behind mergers and acquisitions in the pharmaceutical sector.

Zusammenfassung der Kapitel (Chapter Summaries)

• Chapter 1: Introduction: Provides an overview of the failed acquisition of Allergan by Pfizer and the importance of valuation methods in analyzing such transactions.
• Chapter 2: Multiples Valuation: Analyzes the pharmaceutical industry, identifying comparable companies and their multiples, leading to a valuation of Allergan.
• Chapter 3: Transaction Multiples Valuation: Examines comparable transactions in the pharmaceutical sector, applying multiples valuation to determine the transaction value of the Allergan acquisition.
• Chapter 4: Event Study Analysis - Merger: Examines the impact of the merger announcement on both Pfizer and Allergan's stock prices, analyzing the abnormal returns.
• Chapter 5: Event Study Analysis - Termination: Analyzes the effect of the termination announcement on the stock prices of both companies, assessing the abnormal returns.

Schlüsselwörter (Keywords)

This study focuses on the pharmaceutical industry, multiples valuation, event study analysis, mergers and acquisitions (M&A), transaction value, abnormal returns, stock price impact, and the failed acquisition of Allergan by Pfizer.