Mergers Acquisitions Blog

Although mergers and acquisitions (M&A) might sound like corporate buzzwords but they can have a significant impact on the growth strategy of a company, its survival, and even its success. M&As are pursued for either financial or strategic reasons and come in a variety of ways. For instance, a company may want to expand into new markets, gain expertise and intellectual property, or enter the healthcare industry. In other instances the company may face the need to replace retiring Baby Boomers with more skilled and experienced team members.

The majority of private M&A deals are structured to involve the acquisition of assets, not shares. Stock Purchase Agreements Securities Purchase Agreements, or SPA are the most well-known names for the main agreement governing these deals. This article reviews some of the major aspects of these types of agreements.

Any leader who wants to grow their company through acquisitions must have a strong grasp of M&As. Explore the courses in our Leading with Finance portfolio to build your own toolkit to make more informed financial decisions. The earlier you begin to think about the financial consequences of M&As, the better prepared you will be to avoid common risks. M&As are time-consuming, complex and can be difficult to implement. A well-executed M&A however, could bring tremendous value to your company with the proper plan.