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Navigating the Risk-Reward Equation in Mergers and Acquisitions: Unveiling the Dynamics of Financing Models

Sun Acquisitions

On the flip side, if the merger generates synergies and increased profitability, debt financing can yield substantial rewards, as debt is often lower than equity. Equity Financing: Dilution vs. Stability Equity financing involves issuing new shares to raise capital for the M&A transaction.

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