Walgreen plans to pay cash for the acquisition, which will add to its portfolio of 7, 100 locations across the country.
The pile-up of cash must touch off a merger and acquisition binge by the fat cats with mounds of cash and no place to reinvest it in their own business.
Another piece of the puzzle to consider when looking at an acquisition target is cash return, which is extremely low these days.
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And he sees a 60% chance that BB10 fails, there is no acquisition, the cash burns up and the stock is a zero.
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Another quality IAC likes in acquisition targets is cash flow.
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The question that many are wonder is whether or not Netflix is better off as an acquisition from a cash rich tech giant or as a stand alone company?
The acquisition will be on a cash-free, debt-free basis and is expected to be significantly accretive to ARRIS' Non-GAAP earnings starting in the first full year after closing.
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This healthy free cash flow has enabled the company to pay down the debt from the Washington Group acquisition, leaving it with a strong balance sheet and a net cash position.
Returning to profitability in 2002, after two years in the red, cash-rich Radio One is continuing its acquisition drive, which has kept revenue growing at double-digit rates.
However, if Apple was only looking for one acquisition and to use as much cash as possible, Apple could buy nearly every other technology stock in the United States.
In addition, the market is not adequately discounting the sales, profit and cash flow potential stemming from last year's acquisition of the North American bottling business.
The added earnings potential of Germany's Mannesmann, a pending acquisition, should lower Vodafone's cash flow multiple in 2001 to 21 times, making it still more affordable.
The added earnings potential of Germany's Mannesmann, a pending acquisition, should lower Vodaphone's cash flow multiple in 2001 to 21 times, making it still more affordable.
High debt levels typically make a business unattractive for an acquisition as potential buyers have difficulty raising additional debt against the business, and the associated volatility related to the future cash flows also raises the cost of capital for acquisition.
South Korea is likely to see a pickup in merger-and-acquisition activity this year, as its cash-rich companies shop for overseas assets and as the government is expected to renew efforts to unload state-held stakes now that December's presidential election is over.
This concept, which appears on the surface to be quite benign, is typically used to compare the costs of acquiring a customer (often referred to as SAC, which stands for Subscriber Acquisition Costs) with the discounted positive cash flows that will come from that customer over time.
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We consider free cash flow to be a liquidity measure that provides useful information to management and investors about the amount of cash generated by the business that, after the acquisition of property and equipment, including information technology infrastructure and land and buildings, can be used for strategic opportunities, including investing in our business, making strategic acquisitions, and strengthening the balance sheet.
Apple has said that it is keeping hold of the cash so that it is ready to make a major acquisition as and when the opportunity arises.
To finance the deal, Cigna will raise about 20% of the acquisition costs in new equity, use its cash, and rely on a bridge loan provided by its financial advisor, Morgan Stanley.
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The acquisition will be covered by a combination of about 43% cash and 57% Cairn shares.
If the company keeps too much cash on its books, it could itself become a mouth-watering acquisition target.
We believe that an acquisition can be completed expeditiously and are prepared to commence a cash tender offer with no financing or due diligence conditions.
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Even with the payout, Microsoft has piled up a huge cash position in recent years, and thus could easily finance a large acquisition or, should the mood strike its board, lay another special dividend on shareholders or simply increase its payout.
Here, CAC is cost of customer acquisition, MRR is monthly recurring revenue and software margin is the cash they keep for each customer after accounting for support and other costs.
Sure every once in a while one of those companies will do a big acquisition, but by their nature they will generate a lot of cash and returning some of that to shareholders has to be part of the toolbox.
Obviously, Apple is trying to decide how best to use its cash hoard, whether in stock buybacks, dividend hikes, or going on an acquisition binge.
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Having recently wrapped up the Motorola Mobility acquisition, Google's now moving onto different pastures and spending its cash elsewhere -- more specifically on an outfit known as VirusTotal.
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Mr. Cook said the cash pile "is not burning a hole in our pocket" and the company has made an acquisition about every other month for the past three years.
Mr. Cook said the cash pile "isn't burning a hole in our pocket" and the company has made an acquisition about every other month for the past three years.
If a company has deep pockets (meaning it's flush with cash), or it has the financial ability to take on more debt, it may seek out viable acquisition candidates as a means of growth.
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