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Selected Case

published: 01 Dec 2004

  • Topic: Family Business
  • Industry: Heavy industry
  • Region: North America

Abstract:
As a multi-generational family business with a 100-year history in industrial engineering, the Nash Engineering Company had turned many challenges into opportunities. But in the late 1990s, the market for their products collapsed. The family and executive managers were faced with several options. Should they try to continue as a stand-alone organization? Should they pursue a strategic acquisition? Should the family sell Nash Engineering? There were many factors to consider, among them individual shareholdersÂ’ need for dividends and liquidity, and the familyÂ’s sense of pride in their heritage. What was the best solution for the business and the family?

Pedagogical Objectives:
Exploring the importance of family involvement in decisions that affect the business Exploring options for the next generation: stand-alone; merge or acquire; or sell?

Keywords:
Family Business, Strategic Acquisitions, Family Legacy, Investment Banking, Shareholders' Rights, Selling Family Business, Private Equity, Investment Partners, Corporate Governance, Corporate Governance for Family Firms, Wicfe, Governance, Parallel Planning, Strategy, Boards

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