Mergers and Acquisitions

How does the Mergers and Acquisitions process work?

We offer a full advisory management service specifically for the small business sector. Specialists in disposals and acquisitions ranging from £250,000 upwards. A dedicated team of advisers, providing a bespoke service across the UK.

Mergers and Acquisitions comprises different activities:

• Decision to buy/sell
• Funding (buyer)
• Identification of potential and actual targets (buyer & seller)
• Valuation (buyer/seller)
• Preparation of Offering Memorandum (seller)
• Due diligence (buyer & seller)
• Bidding (buyer & seller)
• Negotiation (buyer & seller)
• Paper work (buyer & seller)
• Completion (buyer & seller)
• Integration (buyer)
• Post-sale restructuring (seller)

Unless approached in a structured, process-based manner, mergers and acquisitions projects are likely to fail to achieve their objectives, even if the deals are completed. In any event, many potential transactions will fail to pass one of the points up to and including “Bidding”. It is important that businessmen get the right advice in these phases so that they do not waste time, money and effort on deals that are doomed to an eventual death.

For all deals, the post-completion phase is of critical importance. Understanding the issues that will come with this phase is a major part of the “go/no go” decision, as well as a major part in the negotiations and value-extraction mechanism. Typically, buyers and sellers underestimate the criticality of this phase. Consequently, many mergers and acquisitions deals fail to meet their objectives.

The art of good mergers and acquisitions service work lies in the ability to appreciate and deal with the detail of the transaction without that detail becoming an overwhelming and crushing force. There has to be a considerable amount of dynamic team work to ensure that all the key issues are covered, and their implications appreciated and factored into the deal.

Our mergers and acquisitions background equips us to:

• Appreciate the complexities but to remain uncluttered and calm in our thinking
• Gather and organise the appropriate professionals and other experts needed to cover any particular deal
• Work on a commercial level whilst maintaining an appreciation and understanding of the legal and other issues that have to be addressed
• Prepare most, if not all, of the required documentation
• Manage and conduct the negotiations

Our Network of professional contacts equips us to mobilise, as required:

• Funding opportunities
• Specialist legal expertise in a range of countries
• Financial analysis capability
• Technical capabilities
• HR professionals
• Other experts

Joint Ventures

All arrangements which are made between two or more people or entities, and are more than transitory are “joint ventures”. Examples of typical commercial activities in this category are: production Joint Ventures; franchise arrangements; trading partnerships; shareholder agreements; long-term (6 months+) buy/sell arrangements; agencies; distributorships; and, joint development agreements.

The common theme is the existence of, and need for, an enduring relationship between the parties to the arrangement. The creation of such relationships requires skill and experience. There is a need for detailed analysis and understanding while maintaining clarity and avoiding the death of the deal through delay and frustration.

If the joint venture is between people or entities from different cultures, countries or backgrounds, the issues are multiplied and require even more careful handling.

Our experience of joint ventures includes transactions in industries as diverse as oil, chemicals, pharmaceuticals, textiles and steel services, and in countries as diverse as India, China, Scandinavia, Europe and the USA.

We can provide assistance in planning, negotiation, documentation and implementation; if and when conflicts arise, we can help resolve them on a “win-win” basis so as to avoid costly arguments and litigation.

We have access to a range of experienced professionals in many countries who, as needed, can be mobilised to help drive the negotiations to a successful conclusion.

If you would like to know more about our range of mergers and acquisitions services, contact us today on 0845 838 0936 or drop us an email.