In the current times of competitive business in recessive environment, strategic opportunities and risks are critical factors that need to be taken into consideration while forming business relationships. Forging alliances with other businesses greatly facilitates in meeting the challenges of time and improving productive outcome. Indeed, tactical business coalitions across the globe are important linkages that provide firms with competitive advantage and help maintain or improve their market position. The dynamics of acquisitions and takeover are complex business paradigms that need to be evaluated and analyzed thoroughly before making final bid. SZLN therefore needs to evaluate strategic opportunities and risks involved in its plans for acquiring PEM.