A merger or acquisition can add considerable value to a business, but making sure that each stage of the transaction process—from valuation to negotiation and completion—is successful demands considerable experience and knowledge.
A merger or acquisition, or the divestment of a business unit, will have a substantial impact on you company’s financial status. An understanding of the financial risks associated with a transaction and opportune knowledge of the tax consequences will help you optimise the profitability of your transaction.
‘Soft’ aspects play an important role in the success of an acquisition or merger. Services need to be complementary and corporate cultures need to dovetail. But, when it comes to ensuring the success of a transaction, the ‘hard’ factors are of overriding importance. A sound tax structure can substantially reduce costs, a well thought-out financing plan will eliminate the need to draw on working capital, and thorough preparation will ensure that cash flow remains healthy.
Having supervised many transactions, our consultants have considerable knowledge of the success factors and pitfalls of mergers and acquisitions. They will gladly apply this knowledge to elucidate the financial and tax consequences of your plans, optimise of the tax structure of the proposed transaction and ensure that the transaction itself is executed as efficiently as possible.
PwC has by far the largest network of mergers and acquisitions specialists both in the Latvia and worldwide. We can assist you with the due diligence phase, supervise the actual transaction, help you structure the new organisation and advise you on how to raise the capital to finance a transaction.
Tel: +371 6709 4400