Mergers & Acquisitions · Accretion/Dilution Modeling
Determining Offer Value
This problem asks how to determine the total offer value in an M&A transaction from the per share purchase price and the seller’s share count.
Interview question
- Difficulty
- Easy
- Topic
- Mergers & Acquisitions
- Subtopic
- Accretion/Dilution Modeling
What this question trains
This question practices a core M&A valuation step, turning a quoted offer price into the total equity value being paid for the target. Candidates need to understand the difference between price per share and aggregate transaction value, and why fully diluted shares outstanding are used rather than basic shares alone. Interviewers ask this to test whether you can connect stock based pricing to transaction math and handle the share count adjustments that matter in accretion and dilution analysis.