Overview

M&A transactions, including acquisitions, dispositions, mergers and spin-offs, are among the most important ways for companies to navigate the constantly changing competitive, economic and regulatory environment in which they operate. Yet, the evolving nature of this environment has also increased the complexity of engaging in these transactions.

The rapid changes and volatility in stock market valuations, macroeconomic developments such as interest rate cuts, changes in the domestic regulatory and political environment, a new and active U.S. administration, tariffs (actual and threatened) and conflicts and other geopolitical disruptions around the globe are just a few of the factors that a company must consider when undertaking an M&A transaction. Adding to this complexity is the continued heavy participation of hedge funds and private equity funds in M&A, changing dynamics in financing markets, and developments in corporate governance such as an increase in anti-ESG considerations and pressure on proxy advisory firms. The constantly evolving legal and market landscapes highlight the need for boards of directors to be fully informed of their legal obligations when considering and undertaking M&A, and for companies and their management teams to understand the different factors that can affect whether a transaction is successful.

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