If your business needs to boost growth or overcome a competition, M&A may be the answer. M&A is a complex process which requires the assistance of multiple teams, from the identification of strategic goals to post-acquisition integration.
A M&A deal could comprise one of several types of transactions, including mergers, acquisitions and divestitures. Whether your firm is involved in buy-side or sell-side M&A A high-quality approach to each stage of the M&A process is critical to success.
M&A deals begin with deal initiation, the process of identifying potential targets for acquisition with clear criteria such as strategic fit and financial performance. Private equity companies, investment banks and venture capitalists usually focus on this aspect of M&A. M&A lawyers, however, must also identify opportunities in the market and negotiate agreements – whether they’re negotiating a purchase or a rejection of an offer by a buyer.
When a stock purchase is made, the M&A team must prepare legal documents to support the deal. This includes drafting an asset purchase agreement in addition to evaluating and assigning assets in determining warranties and representations and more.
The M&A team should also determine the reasons why the seller is selling the business. Certain motives can trigger antitrust regulations for example, those that ensure the integrity and fairness of a market. In these cases, M&A teams must prepare documents that meet antitrust requirements.
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