Mergers, Acquisitions & Divestments Deep Dive
Get all the data on a company's acquisitions to assist with modeling and due diligence
Last updated: 20 September 2025
Objective:
This prompt identifies and reports each major M&A transaction undertaken by a company over a period specified by the user. It reports dates, a profile and rationale for each acquisition or divestment, disclosed financial metrics, post announcement share price performance, mix of financing and estimates of organic vs acquired revenue growth over the total period.
Explanation:
Investors run this analysis to see how a company really grows and allocates capital. A clean map of acquisitions and divestments over the last five years (or a user-set window) reveals strategy in action - what markets management is buying into or exiting, how much they pay, how they finance it, and whether promised synergies show up. The output returns a source-verified deal log with dates, target descriptions, geography, disclosed revenue/earnings, consideration and financing mix, any equity raise, and implied EV/Revenue and EV/EBITDA multiples. It also tracks the stock’s 1- and 3-month post-announcement performance versus a benchmark to gauge market validation. Finally, it extracts reported revenues over X years and decomposes cumulative growth into acquired versus organic, after adjusting for divestments - quantifying growth quality, not just quantity. The result is a fast, auditable view of capital allocation discipline, integration risk, and valuation paid for growth.
As always, be aware that models can make mistakes. At each step, examine the response and challenge information or conclusions that appear erroneous before proceeding to any subsequent steps. If in doubt use a second model with the same prompt to verify the information and generate challenge questions and answers (CoVe process) to correct interpretations of data.
Link to blog post explanation:
N/A
Preferred Model(s):
Gemini 2.5 PRO over ChatGPT 5+
Runtime: ~1-3 minutes (Gemini faster)
Important Execution Notes:
Insert Ticker and Company name (and exchange outside US) where indicated in Inputs section
Look-back period defaults to 5 years but can be user specified
Revenue extraction period is set to same default but can be varied by user.
Sample Output:
Copy/Paste Prompt Set:
Important note: Subscribers can use this prompt set for their own analysis. However, the prompt is copyrighted by The Inferential Investor, paywalled, and must not be shared without permission.