A tuck-in acquisition, often referred to as a "bolt-on acquisition," is a type of acquisition in which🅷 the acquiring company merges the acquired company into a division of the acquiring entity.
Often, this technique is used when the acquiring company wishes to obtain a significant comparative advantage but at a lower cost than would be required for the acquiring company to implement the changes on its own. A successful tuck-in acquisition can increase revenues and broaden the acquiring company's capabilitie🧜s and resour𝐆ces.
Tuck-In Acquisitions: An Example
An example of a tuck-in acquisition would be a large, traditional bank that chooses to purchase a rapidly growing 澳洲幸运5官方开奖结果体彩网:investment bank because it would like to offer investmenꦍt banking services but without the expense and time that would be needed to build the investments division from s🐎cratch.
Tuck-in acquisitions occur frequently within markets that are beginning to mature. In additi🌜on, tuck-in acquisitions occur in situations where organic growth within a niche would be more cost- or time-prohibitive than acquiring an industry competitor or potential competit⭕or.