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Earlier today PitchBook released its M&A Report for Q3 2015 and the stats indicate continued strength in merger and acquisition activity.

While the overall deal count for Q2 2015 was down (4,250 deals with an aggregate value of $416 billion) as compared to the prior quarter (4,803 deals with an aggregate of $560 billion) and prior year (5,183 deal with an aggregate of $373 billion), the average transaction size spiked to $1.103 billion in Q2 2015 as compared to $795.3 million in Q1 2015 and $231.9 million in Q2 2014.
Continue Reading Merger activity remains strong in Q3 2015; average deal size spikes

From our colleagues Paolo Morante, Steven E. Levitsky, and Laura Kam

In accordance with the 2000 amendments to the HSR Act, the Federal Trade Commission has announced its annual revision to the jurisdictional thresholds under the Act. The new thresholds will go into effect 30 days after publication in the Federal Register, which is expected in the next few business days.

Under the new thresholds, no transaction will be reportable unless, as a result of it, the acquiring person will hold voting securities, assets, or noncorporate interests of…
Continue Reading FTC ANNOUNCES ANNUAL REVISIONS TO HSR ACT THRESHOLDS

This post is part five of our five part series exploring various aspects of due diligence in the context of a merger and acquisition (M&A) transaction. Our prior posts discussed M&A due diligence generally and its objectives, described the due diligence process, outlined considerations when assembling your due diligence team of experts and the due diligence request list, and explained how to respond to a due diligence request list. This post will focus on the scope and process of a due diligence review and how the results of such review will impact the proposed M&A transaction.
Continue Reading M&A due diligence: The review and results (part 5)

This post is part four of our series exploring various aspects of due diligence in the context of a merger and acquisition (M&A) transaction. Our prior posts discussed M&A due diligence generally and its objectives, described the due diligence process and outlined considerations when assembling your due diligence team of experts and the due diligence request list. As indicated in our earlier post, the due diligence request list is the inventory of documents requested, provided and reviewed on the road to completing an M&A transaction. Once the seller and its counsel have had the chance to collect and review all of the items requested, the seller’s counsel typically prepares a formal written response to the due diligence request list. This post will focus, from the seller’s perspective, on preparation of such a response.
Continue Reading M&A due diligence: Responding to a due diligence request list (part 4)

This post is part three of our series exploring various aspects of due diligence in the context of a merger and acquisition (M&A) transaction. Our prior posts discussed M&A due diligence generally and its objectives and described the due diligence process. This post will focus on assembling your due diligence team of experts and the due diligence request list.

Building your due diligence team of experts

Every deal is different, and one of the first priorities in the due diligence process is to assemble a diverse due diligence team. The team’s collective expertise should cover the various business, legal, technical, and financial matters unique to the seller and the deal at hand. This means not only assembling the appropriate legal team, but making sure that the buyer or seller has designated the appropriate in-house contacts to address questions that may arise concerning financial, customer, marketing, technical/engineering, information technology/infrastructure or personnel matters.…

Continue Reading M&A Due Diligence: Assembling your team and the due diligence request list (Part 3)

The Delaware Court of Chancery recently awarded $1.2 billiion in a matter alleging breach of the duty of loyalty by a controlling stockholder in a merger.  In a recent publication, our colleagues Robert W. Brownlie, John Reed, Courtney Stewart, and Jennifer A. Lloyd, describe the case and suggest approaches to keep in mind in similar circumstances as follows:

The Delaware Court of Chancery, in the recent decision In re Southern Peru Copper Corp. Shareholder Derivative Litigation, 30 A.3d 60, (Del. Ch. 2011), has awarded US$1.2…
Continue Reading M&A: Delaware Duty of Loyalty Case – $1.2B in Damages

A new M&A Corporate Development Report from Merrill DataSite and mergermarket was released this past week.  It addresses the M&A outlook for the coming year.  They report finding a largely positive view toward M&A deal volume and deal values for the upcoming 12 months, with 76% of the corporate executives and investment bankers interviewed anticipating increasing deal volume and 65% of them expecting deal values to increase in the same period.

The report also includes responses regarding approaches to corporate development within the organizations of the executives interviewed, with half…
Continue Reading Positive M&A Outlook: Merrill DataSite and mergermarket Report

This past week, mergermarket and Merrill Datasite released their report: Deal Drivers 2011 Half Year Report for the North American Region, providing an overview of January through June 2011 M&A activity.  M&A deals in the region have increased in volume by 51% (to 1,894 deals) and in value by 47% (for a total of US $526.6 billion) compared to the same period in 2010.  Volume was highest in the technology, media and telecom sector with nearly 350 announced transactions, while energy, mining, oil and gas deals were on top…
Continue Reading M&A Deal Report for First Half of 2011 Released

The Q1 2011 mergermarket report on global M&A activity is out.  Highlights of the report, produced in conjunction with Merrill Corporation, include the following:

  • There have been 2,749 M&A transactions worth a combined US$617.1bn (through April 2011);
  • Energy sales make up the largest deal value (26.4% of global deal value);
  • The Telecom space is undergoing consolidation, with some large value deals announced; and
  • The private equity market is very active.  In the first quarter of 2011, 446 buyouts and 264 sales have occurred, with each in the US$55bn range.

Continue Reading Q1 2011 Global M&A Report

The Future of M&A, the mergermarket and Merrill DataSite report released earlier this month, reflects a strong expectation of increased merger activity in 2011 and 2012.  The technology, media, and telecom sectors are expected to see a significant increase in merger activity, along with energy/utilities. The report, based upon interviews conducted in the fourth quarter of 2010, also indicates a growing sense that the valuation gap between buyers and sellers is narrowing, along with more optimism regarding financing alternatives. 

Silicon Valley Bank has a new M&A report out as well, Private…

Continue Reading M&A Activity Projections; Life Science M&A Report