M&A Amid the Coronavirus (COVID-19) Crisis: A Checklist

Summary

This checklist addresses key considerations in M&A transactions in light of the ongoing COVID-19 pandemic, which continues to impact daily life across the globe. Many countries are gradually re-opening their economies, while bracing themselves for a potential second wave. For businesses, challenges range from protecting and supporting employees and customers, to contributing to evolving efforts to battle COVID-19, to fighting for survival by preserving liquidity and adapting to new and dramatically different operating conditions, to re-opening in a responsible manner. Against this backdrop, the outlook for M&A activity continues to be uncertain. Assessing value and marshalling necessary financial and human resources are already challenging, and ongoing market volatility may well exacerbate this. Nevertheless, for various reasons, including strategy, opportunity and necessity, both companies and financial sponsors continue to consider—and where appropriate pursue—transactions. In addition, some buyers and sellers continue to address pending transactions that were signed pre-crisis and that now may or may not close.