tag:blogger.com,1999:blog-1392866426745021699.post3237004935409192271..comments2024-03-28T07:27:16.088+01:00Comments on The Wine Gourd: Why beer companies should never buy wine companiesDavid Morrisonhttp://www.blogger.com/profile/11578729952036086391noreply@blogger.comBlogger4125tag:blogger.com,1999:blog-1392866426745021699.post-67127002574193007472020-09-29T22:45:50.287+02:002020-09-29T22:45:50.287+02:00I have not tried to pin TWE's current problems...I have not tried to pin TWE's current problems on the previous beer owner. Their current situation has been created since their split.David Morrisonhttps://www.blogger.com/profile/00276520192744208262noreply@blogger.comtag:blogger.com,1999:blog-1392866426745021699.post-91689558812402297062020-09-29T22:07:41.401+02:002020-09-29T22:07:41.401+02:00Uh....Constellation...anybody ever heard of them.....Uh....Constellation...anybody ever heard of them..?<br /><br />Treasury is a disaster for many reasons, not sure you can pin the beeer/wine combo on that. Much more meaningful to consider the decline of the Aussie wine trade in general and the disastrous acquisition of the duplicative Diageo wine assets when considering their current situation.Jasonhttp://me/comnoreply@blogger.comtag:blogger.com,1999:blog-1392866426745021699.post-5501751245376152342020-09-28T21:46:42.314+02:002020-09-28T21:46:42.314+02:00Let's here it for the MBAs and M&A guys!Let's here it for the MBAs and M&A guys! Old Wine Guyhttps://www.blogger.com/profile/13357463554288311644noreply@blogger.comtag:blogger.com,1999:blog-1392866426745021699.post-79521794544517199632020-09-28T04:10:36.268+02:002020-09-28T04:10:36.268+02:00Excerpt from [U.S.] National Bureau of Economic Re...Excerpt from [U.S.] National Bureau of Economic Research<br />(posting date unknown):<br /><br />"Big Firms Lose Value in Acquisitions"<br /><br />URL: https://www.nber.org/digest/aug03/w9523.html<br /><br />"Mergers and acquisitions destroy shareholder wealth in the acquiring companies. New research from the NBER shows that, over the past 20 years, U.S. takeovers have led to losses of more than $200 billion for shareholders. However, this result is dominated by the big losses experienced by shareholders in big companies. Small companies that make acquisitions create value for their shareholders."<br /><br />(Aside: among it other responsibilities, the NBER is charged with dating when the U.S. economy falls into an economic recession. And dating when it turns the corner and begins to recover.)<br /><br /><br />Excerpt from Harvard Business Review<br />(May 10, 2016):<br /><br />"So Many M&A Deals Fail Because Companies Overlook This Simple Strategy"<br /><br />URL: https://hbr.org/2016/05/so-many-ma-deals-fail-because-companies-overlook-this-simple-strategy<br /><br />By Alan Lewis and Dan McKone<br />L.E.K. Consulting<br /><br />"We have all seen or heard of high-profile cases where M&A deals didn’t work out. . . . An analysis of 2,500 such deals by our firm [L.E.K. Consulting] shows that more than 60% of them destroy shareholder value. . . ."<br /><br /><br />And let me add this anecdote from The Motley Fool investor advisory service:<br /><br />"Warren Buffett, chairman of Berkshire Hathaway, often cites a quote from [U.S. management guru] Peter Drucker on this topic: 'I will tell you a secret: Deal making beats working. Deal making is exciting and fun, and working is grubby. Running anything is primarily an enormous amount of grubby detail work. Deal making is romantic, sexy. That's why you have so many deals that don't make sense.' "<br /><br />URL: https://www.fool.com/investing/small-cap/2004/11/18/a-misguided-merger.aspx<br />Bob Henryhttps://www.blogger.com/profile/02089688073031173053noreply@blogger.com