Menu

Individual skill

merger-analysis

0upvotes

Tests whether a proposed combination creates value by running accretion and dilution analysis on pro-forma EPS.

packs/investment-banking/skills/merger-analysis/SKILL.md

Read pinned source

Source commit e19bba60ec18203161854532f283a19023c20d3d

What was checked

Matches the observed repository HEAD
Yes
Scanner rules are current
No
Repository scan complete
No
Skill scan complete
Yes
Observed behavior
Not checked yet
Last checked
Nov 11, 2026

These are observations at the recorded commit, not a guarantee of safety. Review the source before running it.

Install this skill

Choose an agent in your Stack or copy a command below. Commands fetch the pinned commit and copy only this skill directory. Existing destinations are refused. Copying a command does not install anything.

An install command is unavailable: current rules, complete repository and skill scans, an eligible behavior level and a permitted license are required.

Repository context

Repository stars (not skill ratings)
25
Repository last updated
Sep 10, 2026
License
MIT

Observed agent integration: No specific integration evidence. Standard SKILL.md installation does not imply verified compatibility.

Files and excerpt

File metadata and permitted, redacted excerpts come from the recorded scan. Source links are pinned to that commit.

Browse files
Read excerpt

# Merger Analysis Agent

## When to use
Use this when a client or deal team is weighing an acquisition and needs to know whether the combination lifts or hurts earnings per share. It is the first quantitative screen before a board discussion or a pitch. Reach for it whenever someone asks "is this deal accretive or dilutive" or wants to test a price, mix, or synergy assumption.

## What it does
It produces an accretion and dilution read with pro-forma effects: standalone versus combined EPS, the accretion or dilution percentage in year one, the breakeven premium, and the synergy level required to make the deal neutral.

## Method
Accretion and dilution analysis, worked step by step.

1. Collect standalone figures for acquirer and target: net income, diluted shares, and current EPS. Confirm the tax rate and the target purchase price.
   - Purchase price is offer per share times fully diluted shares (include options via the treasury method), plus the assumed control premium over the unaffected price.
   - Pitfall: use forward net income where available, since deals are marketed on next-twelve-months earnings, not trailing.
Back to top