Publications
Publications
- June 1991 (Revised December 1997)
- HBS Case Collection
Takeover of the Norton Co., The
By: Thomas R. Piper
Abstract
After a decade of mediocre performance, the Norton Co. enters 1990 with the prospect of increased sales in the next few years. Yet Norton is pursuing slow growth industries, and a lower than expected earnings announcement at the beginning of 1990 has depressed earnings forecasts by brokerage firms. BTR, a large highly successful British conglomerate, is considering making a takeover offer of Norton but is troubled by a number of issues. This case takes a behind-the-scenes look at how a company like BTR would value a potential takeover target and analyze how the acquisition would impact BTR's operations and performance, and how it might stave off competing bids if it were to make an offer.
Keywords
Mergers and Acquisitions; Business Conglomerates; Goals and Objectives; Forecasting and Prediction; Performance Evaluation; Revenue; Bids and Bidding; Business Processes; Ownership Stake
Citation
Piper, Thomas R. "Takeover of the Norton Co., The ." Harvard Business School Case 291-002, June 1991. (Revised December 1997.)