That means that, for the deal to work, it will need to improve CNET’s performance not by a little but by a lot. And, because CNET is neither small nor privately owned, CBS paid a forty-five-per-cent premium on CNET’s stock-market The overlap between the two companies is limited, and so are the opportunities for cost-cutting. “Unfortunately,” he writes, “the CBS-CNET merger fits none of the criteria for a good deal.” Along with this, the software supports all version of Adobe PDF files. The software is compatible with all Windows OS versions i.e. These include mergers that rely heavily on cost cutting (think JPMorgan Chase-Bank One) or acquisitions of small, privately SysTools Offline PDF Merge tool is a Windows Operating system based utility to merge PDF files. Surowiecki allows that certain kinds of deals tend to create value more often. He catalogs the many ways that mergers goĪstray - as chief executives chase phantoms such as the “myth of synergy,” the “fallacy of ownership” or the “grow or die” directive.Ĭiting some studies, the article states that mergers usually destroy value - a generalization that other studies contradict, The Deal Professor notes in this post. Surowiecki holds out the CBS-CNET transaction as an object lesson in how mergers so often destroy shareholder value. In an article in the magazine’s latest issue, Mr. Now you can add James Surowiecki, the financial writer for The New Yorker, to the list of doubters on his deal. Well as other sites on subjects such as food and child-rearing. With its $1.8 billion price tag, the deal led many people to question whether CBS was overpaying for CNET, whose assets include technology-themed Web sites as Is CBS Chief Executive Leslie Moonves making a big mistake?ĬBS’s decision to buy CNET Networks got a skeptical reception from investorsĪnd many analysts when it was announced last month.
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