Market Trends 2021: Termination Fees

Summary

This practice note discusses market trends in termination fees in public-target deals in 2021, including both termination fees payable by the seller or target, and reverse termination fees payable by the acquirer. The discussion covers frequency, size, triggers, and other aspects of such fees, and includes a list of representative deals with links to the deal summaries in Market Standards. The data analyzed in this practice note was obtained using Market Standards, which contains over 38,000 publicly filed M&A deals from 2008 to the present. A total of 150+ data points are searchable for deals from 2017 to present, for public target deals initially valued at $100+ million and private target deals initially valued at $25+ million. For more detail on the deal points that can be searched in Market Standards M&A, click here.