Dealmaking in Central Europe
2 April 2022
How to acquire a company
Negotiation and settlement
We prepare a "tailor-made" negotiation strategy and assist the client throughout the negotiation process on the final amount and structure of the purchase price payment.
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The preparation of the text of the purchase agreement represents the final and crucial phase of the examination and negotiations of both participating parties. In addition to the mechanism for paying the purchase price, the purchase contract also captures the related key financial and commercial conditions, and the conclusion of the due diligence describes the rights and obligations of the buyer and seller, and sets out sanctions for non-compliance.
Continuity
M&A Tips
Did you know that within M&A transactions in the Czech Republic:
- The payout mechanism in the form of "closing accounts" dominates over the setting in the form of a "locked box"
- Roughly half of the transactions were settled on the "closing" date, the remaining half included the settlement element through a deferred purchase price or the so-called "earn-out"
- In more than 70% of them, possible future risks were reflected in the form of the so-called "indemnity"
- Over 75% of transactions, where neither a sell-side nor a buy-side advisor was appointed, were not successfully finalized.
M&A Legal
M&A Tips
Mergers and Acquisitions
As part of the transactions we offer clients comprehensive financial, business, legal and tax advisory services.
Take a look at the documents you will definitely need
Study: Negotiation of transactions in the Czech Republic
What other key aspects of finance, taxation and law are standard in the SPA? What are the trends in negotiation and settlement in recent years.
Transaction Term Sheet (Sample)
Summary of crucial aspects of transaction conditions
