Mergers and Acquisitions of Leasing Companies

The methodology for evaluating M&A transactions holds a special place in the field of corporate Finance, since incorrect and unsubstantiated determination of the final value can lead to potential multibillion-dollar losses for the company in the long term. Given the importance of this issue and the rapid development of mergers and acquisitions in our days, it was decided to highlight the key ways to determine the value and effectiveness of such transactions on the example of the leasing industry. In addition, in the modern world, M&A transactions use exclusively financial methods of evaluating transaction data, while many econometric tools are simply ignored, although the universality and scale of statistical methods can be useful in the financial industry. The purpose of this work is to try to implement econometric apparatus in the structure of financial models, combining financial metrics such as multipliers and business operating indicators with statistical approaches, so that in the future it will be possible to quickly calculate the final value of companies without using heavy financial models. The study uses multiple regression models with duplicate variables for buyers and target companies based on a historical sample of 556 leasing M&A transactions announced from 2017 to 2020 worldwide.