Italtel (D): Clayton, Dubilier & Rice

Published 01 Jan 2004
Reference 5061
Topic Strategy
Region Europe

The case series illustrates the decision-making process and the negotiation complexities of a leveraged buy-out proposal made by Italtel management to their holding company, Telecom Italia. In addition to Telecom Italia and Italtel’s perspectives, the cases examine the point of view of the two perspective joint acquirers: Cisco Systems and Clayton Dubillier & Rice, a leading private equity investment house.

Teaching objectives

The case aims to illustrate and discuss the strengths, weaknesses and complementarities of synergistic, as well as non-synergistic value creation in corporate acquisitions.

  • Leveraged buy-out (LBO)
  • Acquisitions
  • Mergers and acquisitions
  • Telecom
  • Italy
  • Private equity
  • Negotiation
  • Post-acquisition management