Strategic buyers and private equity investors look to the middle market in 2018. Building on 2017 activity, all signs point to robust activity for middle market deals in 2018. Compared to 2016, average deal size in 2017 decreased by 16% while deal volume increased by 14% in the US. Growing interest in the middle market …
Tag: tax
Survey Shows Middle Market Mergers and Acquisitions Will Continue Growing in 2018
Capstone Strategic’s survey shows middle market mergers and acquisitions and external growth activity is increasing. More middle market executives are 100% certain they will pursue deals in 2018 (22%) than in 2017 (17%). Executives across various industries shared their perspectives on mergers and acquisitions and growth in 2017 and their outlook for 2018 in a …
How Will Changes to Tax Policy Affect M&A?
Cash of US non-financial companies has reached $1.9 trillion, a 10 percent increase from 2016, and it is estimated that $1.1 trillion will return to the US if a tax holiday is granted under the Trump administration. Alexander Lee, a leading Tax Attorney and Partner at McDermott Will & Emery, recently commented on this topic …
How to Verify an Acquisition Target’s Unaudited Financials
Obtaining audited financial statements is always best when valuing an acquisition prospect. An audit enhances your confidence and ensures what management has presented is a “true and fair” view of the company’s financial performance and position. We run into plenty of privately-held, middle market companies that don’t have audited financial statements. Many have their financial …
Buyers vs. Sellers: Strategies for Agreeing on Deal Structure
If buyers want asset purchases and sellers want stock purchases how do the two ever come to an agreement? Leading Tax Attorney Alexander Lee of Paul Hastings, answered this question in our webinar “Tax Considerations for M&A.“ There are several factors that are important when the buyer and seller discuss deal structure. Specify Deal Structure in …
Why Pfizer Really Wants to Acquire AstraZeneca
Pfizer looks to AstraZeneca acquisition to bolster its drug pipeline and reap tax savings. Pfizer’s $119 billion bid for AstraZenca indicates a change in strategy for the company. According to the Wall Street Journal “A big deal, potentially worth $100 billion, would mean Pfizer is shifting from its steady diet of cost-cutting and reorganizations over …
Tax Inversions: Foreign Acquisitions for a Lower Tax Rate
As tax day approaches in the U.S. I thought it’d be appropriate to discuss a business tax trend. As you may be with your own return, U.S. corporations are looking for more tax advantages. Many are seeking tax inversions, where they reincorporate in a new country with a lower tax rate as a result of …
