What situation would generally result in a lower purchase price of a company?
A)The seller is in need of cash and is selling a non-core business
B)The target company is shopped to prospective buyers through an auction
C)The target company is seeking alternatives to a hostile bid
D)The buyer seeks to create synergies

Question

Quizplus · Accepted Answer

If the seller is in need of cash and selling a non-core business, they may be more willing to accept a lower purchase price in order to secure a deal and get the cash they need.

What Situation Would Generally Result in a Lower Purchase Price