Subject category:
Finance, Accounting and Control
Published by:
INSEAD
Version: 06/2008
Length: 6 pages
Data source: Published sources
Abstract
This is part of a case series. In 2001, Southcorp was in the midst of a major change of strategy. The shift involved becoming a pure play company in the wine industry. Prior to this decision Southcorp was a conglomerate which operated in three different lines of business. To strengthen its position in the wine industry, the company also opted to undergo an acquisition of a well-regarded Australian wine brand. The case series addresses the issues the company faced in the transformation that was not very successful. The case series provides an opportunity for analysis of such issues as strategy, accounting for restructuring, divestitures, mergers and acquisitions, and valuation.
About
Abstract
This is part of a case series. In 2001, Southcorp was in the midst of a major change of strategy. The shift involved becoming a pure play company in the wine industry. Prior to this decision Southcorp was a conglomerate which operated in three different lines of business. To strengthen its position in the wine industry, the company also opted to undergo an acquisition of a well-regarded Australian wine brand. The case series addresses the issues the company faced in the transformation that was not very successful. The case series provides an opportunity for analysis of such issues as strategy, accounting for restructuring, divestitures, mergers and acquisitions, and valuation.