The "When", "What", and "Where" of Mergers and Acquisitions: Filling in the Rest of the Picture

In previous sessions, we've discussed in detail the objectives and motivations of the parties that enter into mergers and acquisitions transactions (the "Why" of M&A) and the various constituencies involved in the deal itself (the "Who" of M&A).  Just as important, though, is the timing and scope of M&A transactions.  Sellers who go to market too soon (or too late) are likely to be disappointed by the economics of their deal (if they can even find one).  Similarly, understanding what parts of the business are likely to be attractive to potential buyers is critical to managing expectations and navigating the sale process.  Finally, just being informed about what it actually takes to buy and sell a business is much less common than one might think.  Sellers (as well as Buyers) and their advisors who do not appropriately grasp these aspects of M&A deals can find themselves overwhelmed or discouraged long before the closing occurs.  Being clear-eyed and realistic about when to sell, what to sell, and what it takes to sell can mean all the difference between a smooth transaction and a broken deal.  

In rounding out his series on M&A transactions, Mr. Greifzu will discuss:

• The typical lifecycle for companies that find themselves as acquisition targets  

• Factors that lead founders and owners to seek sale transactions

• How owners prepare for a sale process

• What investment bankers and other transaction advisors bring to the table

• Areas where value or certainty can be lost throughout the process

• An indicative deal timeline from start to finish

• Why deals fall apart and what happens if they do

Learning Objectives:

1. Examine how timing and motivations can affect the outcome of M&A transactions

2. Identify how different parts of a business enterprise may be viewed or valued by the acquiror in the deal

3. Apply the legal and structuring tools available to lawyers and other advisors to manage the expectations and objectives of the parties and achieve a successful closing