Distressed Mergers & Acquisitions

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Beauty is in the eye of the beholder

As capital markets continue to be volatile and sentiment toward global economic fundamentals becomes distinctly bearish, now is an ideal time for companies to assess the appropriateness of distressed M&A as a strategic tool to better position their business. This strategy applies not only to companies under duress due to poor earnings or liquidity outlooks, but also to companies flush with cash-these companies can utilize opportunistic acquisitions to better position themselves to exploit the eventual return to positive economic fundamentals. Whether you're a buyer or a seller, distressed M&A requires a well thought out approach and discipline.

This article focuses on the buyer's perspective, but as any seller knows, understanding the buyer's rationale and approach is valuable when driving towards a successful sale.