SGMT 6050 – Case Write-­‐Up

McCaw Cellular Communications: The AT&T/McCaw Merger Negotiation

Armin Ezatagha Student Number ⏐ 205 576 707 eMail ⏐ aezatagha12@schulich.yorku.ca Schulich School of Business Tuesday, March 05, 2013

Current Telecommunications Ecosystem McCaw Cellular Communications (MCC), although positioned
After having considered all three forms of valuation, we can triangulate an approximate valuation for MCC of approximately $8.6 Billion. It is important to note that there are numerous limitations for each type of valuation methodology, however the average of the three decreases the likelihood of these uncertainties. Four-­‐Step Valuation & Final Valuation Recommendation

In addition to the valuations above, we need to add the fair values of the synergies and risks involved in the merger or acquisition of MCC. Appendix 4 illustrates the trade-­‐offs to be considered that are less tangible than the more quantitative analysis of the valuation methodologies developed above, but are just as important in order to assess the ecosystem