Technical Questions
What are the different types of mergers and acquisitions?
Understand horizontal, vertical, and conglomerate mergers.
Can you explain the process of an M&A deal?
Outline the stages: strategy development, target identification, due diligence, negotiation, and integration.
What is a discounted cash flow (DCF) analysis?
Be prepared to explain how to value a company using DCF.
How do you determine the value of a target company?
Discuss valuation methods like DCF, comparable company analysis, and precedent transactions.
What are synergies, and why are they important in M&A?
Explain cost synergies vs. revenue synergies.
What are the main considerations when performing due diligence?
Cover financial, legal, operational, and strategic aspects.
Behavioural Questions
Tell me about a time you worked on a team project. What was your role, and what was the outcome?
Describe a challenging situation you faced in a project. How did you handle it?
Why are you interested in a career in M&A?
How do you prioritize tasks when working on multiple deals simultaneously?
Give an example of a successful negotiation you participated in. What strategies did you use?
Industry-Specific Questions
What recent M&A deal do you find interesting and why?
Be prepared to discuss the implications and rationale behind recent deals.
How do market conditions affect M&A activity?
What role do private equity firms play in M&A?
Situational Questions
If a target company has a significant legal issue, how would you assess whether to proceed with the acquisition?
How would you handle a situation where the seller is unwilling to disclose crucial financial information?