Basic Considerations For Vendors In An M&A Deal

Any M&A transaction typically goes through several stages culminating in the payment of purchase consideration to the target/seller(s) and the transfer of the sale shares to the acquirer(s). However, this is the final stage of usually weeks or even months of activity. Most M&A transactions begin weeks or even months prior to this stage, in some cases even before the target/vendors and investor/acquirer sign the 'letter of intent', or any commence negotiations. Based on our past experiences, we have tried to identify certain key areas to be covered by targets/vendors to identify (and where possible remedy) common issues when preparing for a potential M&A transaction.

1. SECURITIES AND SECURITY HOLDERS