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Mergers & acquisitions

Referring to the aspect of corporate strategy, finance and management that deals with the buying, selling or combining of different companies that can assist a growing company to grow rapidly without having to create another business entity.

Contributors in Mergers & acquisitions

Mergers & acquisitions

purchase price adjustment

Banking; Mergers & acquisitions

A contractual provision designed to reflect the change in value of an asset between a specific date (e.g., the effective date of  an asset or stock purchase agreement) and Closing.

promissory note

Banking; Mergers & acquisitions

A promissory note is a form of debt that a maker/debtor issues to raise money or pay as consideration in an acquisition.

non-disclosure agreement

Banking; Mergers & acquisitions

An agreement to protect confidential information being disclosed to a prospective investor or acquirer. Also called an "NDA" or "Confidentiality Agreement".

merger

Banking; Mergers & acquisitions

The legal combination of two or more corporations where one corporation goes out of existence and one corporation remains as the surviving entity.

material adverse change

Banking; Mergers & acquisitions

A contractual provision in a stock purchase or asset purchase agreement that specifies that the transaction shall not terminate in the absence of certain material adverse changes to the seller's ...

management buyout

Banking; Mergers & acquisitions

Purchase of a business by its existing management team.

letter of intent

Banking; Mergers & acquisitions

A letter of intent (LOI) is a preliminary agreement between two or more parties which outlines the terms of a potential transaction.

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