Posted by & filed under Part 1 Business in a Global Environment, Part 3 Management: Empowering People to Achieve Business Objectives, Part 4: Marketing Management, Part 6 Managing Financial Resources.

Description: Air Canada slashed the purchase price for tour operator Transat AT Inc. to almost a quarter of its earlier offer, citing the impact of the COVID-19 outbreak on the air transport industry.

Source: BNNBloomberg.com

Date: Oct 10, 2020

Link: https://www.bnnbloomberg.ca/air-canada-slashes-price-of-transat-deal-citing-covid-impact-1.1506462

Questions for discussion:

  • Explain the change in valuation for Transat.
  • How does the reduction compare to the drop in Air Canada share prices over the same time period?
  • What does all of this say about how to evaluate the worth of any business?

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