Merger between Vestas and Gamesa

  • Filinto Martins (Student)

Student thesis: Master's Thesis


This dissertation focus is the analysis of a possible merger of two wind turbine manufacturers, Vestas and Gamesa. The proposed deal will have has business background the trend for market consolidation, as well the down trend of both firms market share and market value, being the wind power sector still with attractive prospects,. For this proposal, it is combined a deep industry and company analysis with the state of the art valuation tools. Literature on Valuation and M&A is reviewed and applied to evaluate the standalone and merged businesses, proposing an optimal transaction structure. The whole analysis relies on data until end of 2011, being performed estimated for both companies’ standalone and the combined firm, for a growth and stable period. Data from comparables and market benchmarks where also collected for different tools usage. The merged firm with synergies will generate a high increase in the equity value. Net synergies are estimated to be around 67% attributable to Vestas and 33% to Gamesa in the combined firm value. Therefore, it is concluded that the deal will create a sustainable value both firms’ shareholders by issuing a new leading company
Date of Award2012
Original languageEnglish
Awarding Institution
  • Universidade Católica Portuguesa
SupervisorPeter Iordanov Tsvetkov (Supervisor)


  • Mestrado em Finanças

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