Building a Merging and Acquisition Simulator by Knapsack and Dynamic Algorithm

Abstract

Abstract: This research paper’s goal is to build a merger and acquisition simulator. Essentially, the simulation produces choices that can be compared, evaluated, and used to make decisions. The computer model was created so that users may alter the crucial decision-making factors that are involved in the purchase process. The simulator is a transaction analytics tool that proposes stock-level asset or product category swaps between a set of participating companies within an industry that optimize their positions in the market and are also cash efficient in execution. The user can define a set of rules, which set the boundaries of the proposed transactions that are evaluated in the simulation. The simulation tool is a transaction analytics tool that proposes portfolio-level asset or product category swaps between a set of participating companies within an industry that optimize their positions in the market and are also cash efficient in execution. Overview: The simulator offers a practical tool for developing and assessing various growth and diversification plans. If this procedure is oversimplified, the actual effects of the merger on the parent firm will become less clear, making both long-term and short-term financial planning very challenging. A model has been devised that makes use of a computer's capacity to quickly handle large amounts of data in order to get around several of these drawbacks. The long-term merger and acquisition computer model that has been created will optimize the impact that an acquisition will have on the parent company's earnings per share while taking into account the dividends received and the market value per share of the acquired firm.