The Merger aims to consolidate two or more business organizations into a single entity.

The Acquisition is the transfer of ownership of shares, equity investments or assets of an entity.

Generally these extraordinary operations are made with the aim of increasing the market shares and the size of the plants, geographical expansion, the diversification of products and services, the acquisition of market power or to get the benefits of economies of scale.

PRUDENT PLANNING AND PRIOR VERIFICATION

Amongst the most significant aspects to consider, normally the following are included:

• Cultural differences

• Clear communication

• Clear terms of the agreement between the parties

• Transparency

• Customer analysis

• Correct valuation of the company

• Clear criteria for calculating the value of assets or the company

• Adequate evaluation of managers, employees and collaborators

• Compliance and legal risks

• Etc.