Legal Alert

The Art of the (Bad) Deal – An Overview of Certain Considerations in Distressed M&A Transactions

by the Bankruptcy, Reorganization and Capital Recovery Group
May 26, 2020

Distressed companies can be attractive acquisition targets, as their values often reflect the difficulties they face. It is not hard to imagine that the circumstances surrounding COVID-19 will lead to (1) an unprecedented wave of distressed mergers and acquisitions transactions and (2) a meaningful shift of relative bargaining power to favor buyers (in contrast to the last 10+ years where sellers have generally enjoyed a stronger negotiating position). A distressed environment impacts both the way in which deals get done and the considerations that influence the execution of transactions.

This article
discusses some key considerations in distressed M&A transactions.

Copyright © 2020 by Ballard Spahr LLP.
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