X Ltd is a large multinational corporation (MNC) which specialises in IT Services. This company is based in India. X Ltd is currently
considering acquiring Y Ltd, a smaller IT Services company from European Union. Y Ltd will be acquired for a consideration of 90 million
euros to be paid all in cash. Y Ltd has shown a steady growth of 20% each year during the period 2005 to 2012.
X Ltd has asked you to
prepare a report providing them with an advice about this potential acquisition. After analysing the background information as well as the
potential risks and returns (potential advantages and disadvantages), provide your recommendation. Executive summary, main report, letter
transmittal and reference list (Harvard style) are required. Also provide in-text references in the Harvard style. You can referto
Communication Skills Handbook for relevant information.
This assignment is based on chapter 17 from <Eiteman, D. K., Stonehill,
A. I. and Moffett, M. H., œMultinational Business Finance
Global Edition, Pearson AustraIia.>. However, you need to collect more
information from books, journals, reports and any other relevant resources (print and online material) available.