Furman Selz LLC (A): A Tale of Two Acquisitions

Nancy D. Beaulieu; Boris  Groysberg; Kyle  Doherty

Case | HBS Case Collection | April 2005 (Revised January 2007)

Furman Selz LLC (A): A Tale of Two Acquisitions

by Nancy D. Beaulieu, Boris Groysberg and Kyle Doherty

Abstract

Profiles a firm that was reacquired by two companies with different degrees of success. Highlights integration challenges present in acquisition deals when the primary assets of the target are human capital. Focuses on Furman Selz's acquisition by Xerox in 1987; its return to a private company in 1993; and a second acquisition, by ING, in 1997. In particular, provides the opportunity to evaluate five major corporate transitions: the initial launching as an independent firm, Furman Selz, in 1973; the shift to professional management in 1983-1986; the Xerox acquisition in 1987; the MBO in 1993; and the ING acquisition in 1997. Presents the transactions from multiple points of view: the founders and their associates; the professional managers brought in to advance the firm to the next level; the acquired firm under both Xerox and ING; and Xerox and ING themselves.

Keywords: Mergers and Acquisitions; Transition; Valuation; Human Capital; Compensation and Benefits; Integration; Organizational Culture; Banking Industry; Financial Services Industry; United States;

Format: Print

31 pages

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Citation:

Beaulieu, Nancy D., Boris Groysberg, and Kyle Doherty. "Furman Selz LLC (A): A Tale of Two Acquisitions." Harvard Business School Case 905-066, April 2005. (Revised January 2007.)

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Furman Selz LLC (A): A Tale of Two Acquisitions

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