The widespread impact of COVID-19 on our local, national and global economies, our societal norms and day-to-day lives has caused us to adapt to a “new normal” way of life. As M&A professionals, we recognize the risks and uncertainty posed by COVID-19 in M&A transactions. This client alert focuses on certain of those risks and offers guidance to better prepare for evaluating, negotiating and structuring M&A transactions in the COVID-19 environment. We have compiled an outline of practical due diligence tips and drafting techniques for our clients to consider with respect to COVID-19 and its potential impact in the context of M&A. The COVID-19 crisis has initially slowed M&A activity, but as the impact of the pandemic on companies becomes clearer over time, there are likely to be new M&A opportunities, particularly in the area of distressed investing. Moreover, as companies gradually recover from the challenges they are facing, we expect M&A to re-emerge as an important component of operational and strategic growth.
To read the full alert, please click here.