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Due diligence refers to the investigating effort made by an individual to gather all relevant facts and information that

can influence his decision to enter into a transaction or not. Exercising due diligence is not a privilege but an unsaid duty of every party to the transaction. For instance, while purchasing a food item, a buyer must act with due diligence by checking the expiry date, the price, the packaging condition, etc. before paying for the product. It is not the duty of the seller to ask every buyer everytime to check the necessary details. M&A due diligence helps individuals avoid legal hassles due to insufficient knowledge of important details.

Due diligence is integral to business ethics. It is exercised in a simple over-the-counter transaction or a complicated merger and acquisition transaction. For instance, while acquiring a company, the buyer must do thorough research of the credentials of the company, its market valuation, status of accounts receivables, position in the debt market, past performance, etc.

Another area where an individual needs due diligence is while investing funds in a company. The individual should study the previous financial reports to analyze the company's performance. He should check the company background, its promoters, general reputation, and return to the existing shareholders.

Dealing in real estate is a risky business. One of the highest numbers of frauds takes place in this area. A buyer or a seller must investigate the authenticity of the other party. They should also ensure that the property title is clear. Mergers and Acquisitions are important factors and fundamental elements in the global business scenario. They are greatly useful for restructuring the strategies and maintaining a balance of form and formulation.

The entire M&A process is a cumbersome process that needs a lot of understanding as it undergoes a series of procedures that also includes legal requirements. The process includes a thorough analysis of the market, structuring techniques, powerful implementation, and executing the deal. The entire process requires a deep M&A analysis and assessment by qualified and experienced professionals.

Mergers and acquisitions is involved with our clients at every stage of the merger and acquisition process. The qualified professionals offer invaluable inputs and offer a supportive hand before and after the deal.

We offer the following services with regards to merger and acquisition: . Assessment of the business potential . Company valuation . Budgeting and controlling finances . Brand valuation . Preparing the agreement . Structuring strategies . Identification of possible threats and risks . Structuring of tax deal . Evaluation of policies . Sale forecasting . Corporate training

Many companies around the world have merged with each other with a motive to expand their businesses and enhance revenue. Strategic planning . There are domestic deals like Penta homes acquiring Agro Dutch Industries. Establishments of entities . Specific training on various important models . Fortis Healthcare acquired Hong Kong's Quality Healthcare Asia Ltd for around Rs 882 Crore and is now on move to acquire the largest dental service provider in Australia.. The process involves buying a stock at a defined price for immediate sale at a higher price.  Merger of Reliance Power and Reliance Natural Resources with a deal of US $11 billion is another biggest deal in the Indian industry.7 billion to set new benchmarks in the telecom industry.000 tons of pure white salt annually. Edelweiss Capital acquiring Anagram Capital. Mallesons Stephen Jaques in Sydney.  Merger arbitrage is the business of stock trading in companies that are known to acquire takeovers or undergo mergers. Even in India merger and acquisition has become a fashion today with a cut throat competition in the international market. In the span of few years there are many companies coming together for betterment across the globe. This merger between the two made it convenient and easy for the Reliance power to handle all its power projects as it now enjoys easy availability of natural gas. Sullivan & Cromwell LLP in New York. the Dental Corp at about Rs 450 Crore. Recent mergers and acquisitions 2011 are Lipton Rosen & Katz in New York. and Osler Hoskin & Harcourt LLP in Toronto. There is mainly a hedge fund where all the stocks and shares of merging companies are brought and sold simultaneously to ensure a risk-free profit. All these are recent merger and acquisition 2010 valued at about USD 2. Zain is known to be the third largest player in Africa and being acquired by Airtel it is deliberately increasing its base in the international market. Handling both inbound and outbound transaction . This is one of the most successful recent mergers and acquisitions 2010 that made Tata even more powerful with a strong access to British Salt's facilities that are known to produce about 800.   ICICI Bank's acquisition of Bank of Rajasthan at aout Rs 3000 Crore is a greta move by ICICI to enhance its market share across the Indian boundaries especially in northern and western regions. ACC taking over Encore Cement and Addictive. A merger arbitrageur who takes care of the stock trading often . Planning exit Global M&A is one of the most happening and fundamental element of corporate strategy in today's world.16 billion. Dalmia Cement acquiring Orissa Cement. Offering enhanced business knowledge . Slaughter & May in London.  Airtel acquired Zain in Africa with an amount of US $ 10. Implementation of new technologies . Apart from these there are other successful mergers in India as follows:  Tata Chemicals took over British salt based in UK with a deal of US $ 13 billion.

 The number as well as the average size of merger and acquisition deals is increasing in India. This involves considering the work culture. stakeholders. During the announcement of the merger. Strategies play an integral role when it comes to merger and acquisition. the merger can be taken forward to finalizing a deal. Restructuring plans and future parameters should be decided with exchange of information and knowledge from both ends. and customer's feedback. At the end. In this process of price variation and option selection. Once approved. merger arbitrage is possible. market share. and the technological requirements and geographic location of the business. During post liberalization. The integration process should be taken in line with consent of the management from both the companies venturing into the merger. and the working environment as well. There should be a strong understanding of the intended business market. board members. Later on when the merger is complete the prices increases and the arbitrageur always take profit of this thin line discrepancy of stock prices.     Then there is an important need to assess the market by deciding the growth factors through future market opportunities. It is very important to convert business strategies to set of drivers or a source of motivation to help the merger succeed in all possible ways. and some hear their own voice and move ahead without wise evaluation and examination. The jump is mainly based on the offer price that is between two extremes: an all cash offer or a pure stock offer. Merger transactions can gives an option of all cash offer or an all stock offer. A sound strategic decision and procedure is very important to ensure success and fulfilling of expected desires. In certain cases it can also come up as a combination of the two that also includes the existence of debts and bonds in the process. The company should also understand and evaluate all the risks involved and the relative impact on the business. recent trends. This is because the stock of the target firm is usually de-listed because of its possibility of not reaching the offer price until the deal is finalized. The best way to conduct a merger arbitrage is to purchase the stock after the announcement of the merger and sell it after the deal finalization when the stock reaches the offer price. increase in domestic competition and competition against cheaper imports have made organizations merge themselves to reap the benefits of a large-sized company. Following are some of the most essential strategies of merger and acquisition that can work wonders in the process:   The first and foremost thing is to determine business plan drivers. the stocks either decreases slightly or the stock of the acquirer jumps significantly. some take lessons from the associations of their known businesses. Some take experience from the past associations.takes advantage of this process because stock prices often come down during the merger. The merger and acquisition . Every company has different cultures and follows different strategies to define their merger. ensure that all those involved in the merger including management of the merger companies. It is a fairly simple concept with which the offer and the target price often come into action. and investors agree on the defined strategies. employee selection.

and integrating different corporations with the desire of expansion and accelerated growth opportunities.valuation is the building block of a proposed deal. skills. possibility of cross selling. market extension merger. This not only helps to cut the extra cost involved in the operation and gain financial gains but also help to expand across boundaries and enhance credibility. talents. the seller will give the business to the highest bidder. This can further help to combat the competitive challenges existing in the market. Finally. From the seller's point of view. Therefore. It is a process that involves combining of two or more companies as either absorption or as blend. M&A valuation involves determining the maximum price that a buyer is willing to pay to buy the target company. The use of different valuation techniques and principles has made valuation a subjective process. A conflict in the choice of technique is the main reason for the failure of many mergers. selling. expansion. it is important that the merging parties should first discuss and agree upon the methods of valuation. elimination of duplicate departments. and financial performance. For instance.  Corporate merger and acquisition is defined as the process of buying. conglomeration merger. . This can be done in various ways using different methods of merger like horizontal merger. For instance. then each one bids a purchase price based on his valuation. It is the ratio at which the shares of the acquiring company will be exchanged with the shares of the acquired company. This in the long run help increase revenue and market share. a swap ratio of 1:2 means that the acquiring company will provide its one share for every two shares of the other company. It is a technical concept that needs to be estimated carefully. Calculating the swap ratio is at the core of the valuation process. The key objective of corporate mergers and acquisitions is to increase market competition. and exchange of resources are other big time benefits of corporate merger and acquisition. Two or more companies can either be absorbed by an entirely new firm or a subsidiary powered by one of the basic firm. In such cases all the shareholders of the absorbed company automatically become the shareholders of the ruling company as the amalgamating company loses its existence. In many significant ways. It greatly helps to share all resources. fulfillment of the only desire that drives the growth of M&A. reduction of tax liability. this kind of restructuring a business proves to be beneficial to the corporate world. All the assets and liabilities are also transferred to the new entity. Further to that. the asset value can be determined both at the market price and the cost price. This kind of association in any form plays an integral role when it comes to business and economy as it results in significant restructuring of a business. Amalgamation is defined as a simple arrangement or reconstruction of business. and knowledge that eventually increases the wisdom bar within the company. and product extension merger. it means estimating the minimum price he wants to take against his business. If there are many buyers. All the types work towards a common goal but behold different characteristics suited to get the best outcome in terms of growth.

This is because any kind of merger actually improves the purchasing power as there is more negotiation with bulk orders. Merger and acquisition has become the most prominent process in the corporate world. Following are some of the known advantages of merger and acquisition:  The very first advantage of M&A is synergy that offers a surplus power that enables enhanced performance and cost efficiency. liabilities. the resulting business is sure to gain tremendous profit in terms of financial gains and work performance. Apart from this increase in volume of production results in reduced cost of production per unit that eventually leads to raised economies of scale. When two or more companies get together and are supported by each other.Amalgamation has given different forms to different actions in due course of the merger taking place. It can either be classified in the nature of merger or in the nature of purchase. a merger and acquisition deal increases the market power of the company which in turn limits the severity of the tough market competition. the transferor company does not completely lose its existence. In such a case any company does not purchase the business resulting in a takeover. Merger agreement is a contract that comprehensively lists down all details governing the merger of one or more companies. A combination of two companies or two businesses certainly enhances and strengthens the business network by improving market reach. This offers new sales opportunities and new areas to explore the possibility of their business. It can be cancelled under circumstances where any party fails to comply with the laid down terms and conditions. any spelling mistake in the names can nullify the contract. The key factor contributing to the explosion of this innovative form of restructuring is the massive number of advantages it offers to the business world. It is a main document that is legally binding on all the parties to the contract. The agreement should take into account all possibilities and lay down the plan of action for the same.  Cost efficiency is another beneficial aspect of merger and acquisition. If the process takes place in the nature of merger then the all assets. the agreement has to be approved by and duly signed by the authorized parties. Apart from that staff reduction also helps a great deal in cutting cost and increasing profit margins of the company. The legal terminology should be correctly and carefully used. . To make it enforceable. All the properties and characteristics of amalgamating company should vest with the other company. When amalgamation takes place in nature of purchase then the assets and liabilities of the company are taken over by the ruling company. and shareholders holding not less than 90% of equity shares are automatically transferred to the new company or the holding company by virtue of the amalgamation. Moreover.  With all these benefits. This enables the merged firm to take advantage of hi-tech technological advancement against obsolescence and price wars. Even the shareholders holding shares not less than 75% should transfer their shares to the transferee company.   With a merger it is easy to maintain the competitive edge because there are many issues and strategies that can e well understood and acquired by combining the resources and talents of two or more companies.

Names of the merging parties . valuation of tangible assets.Complete names of all the companies merging their business.It refers to the industry in which the merger is taking place. But due to the level of complexity and accountability involved. Jurisdiction .A number of formats are easily available for drafting a merger agreement.In the above example. liability of the members. Some of the important components of the agreement are:    Agreement date . Type of industry . the sector is Healthcare. valuation of shares.It is the date on which the agreement became enforceable.It is important to identify the laws governing the jurisdiction Other important details like members of the management. merger of two drug-making companies belong to the industry Biotechnology & Drugs. . etc. they are normally drafted by law firms for their clients. For instance.    Type of sector .