Mergers and Acquisitions (M&A)

Mergers and Acquisitions (M&A) refer to the processes by which companies combine (merger) or one company acquires another (acquisition). M&A is often driven by strategic goals such as expanding market share, increasing operational efficiency, or diversifying product offerings. The M&A process is complex and involves negotiation, due diligence, legal considerations, and financial structuring.

• Mergers occur when two companies agree to combine to form a new, larger entity, typically with mutual benefit.

• Acquisitions happen when one company buys another, taking control of its operations, assets, and liabilities.

M&A transactions can create synergies that improve the combined company’s performance, but they also come with risks, such as integration challenges, cultural differences, and regulatory hurdles. Proper due diligence and careful planning are essential for a successful M&A.