Nominated for the CFO of the Year in nonprofit healthcare, Brian Derrick, a Pennsylvania native, is an experienced businessman and served as a senior vice president and chief financial officer at Summa Health System. At the organization, he created a healthcare delivery system that managed to bring the organization over $1 billion in revenue. Brian Derrick specializes in mergers and acquisitions.
A business acquisition occurs when a company acquires at least 51 percent of the shares of another firm or the entire firm so that it can manage it. By owning the majority of the shares, a company can then decide the future of the other firm, including future acquisitions, sales, and vision.
There are many reasons as to why companies acquire other organizations, one of which is to expand its reach. For example, if a company acquires a firm from another country, it can sell more products in that market. This is one of the easiest ways to burst into a foreign market.
Another reason is to use new advanced technologies. At times, it might be cheaper for a company to acquire a small firm that uses state-of-the-art technologies than spend money to implement it. It can also be a part of a growth strategy as by acquiring a new firm and its services, a company can have more profits.
