Technology M&A Transactions


Summary

This practice note discusses the key industry-specific considerations that affect all aspects of technology M&A deals, including structuring technology transactions, consideration options, key diligence areas and related representations, payout/waterfall analysis, required approvals, and restrictive covenants. In the last few years, there has been a significant amount of activity in the technology M&A sector. Factors driving this trend include: active venture capital investors looking for exit opportunities, active private equity and strategic buyers looking for strong growth companies, innovative corporate technology sector buyers looking to add new components to their businesses, and changes in the political and economic environment, including recent changes in the US tax code. Because technology often resides in the cloud, there is also often a cross-border component to technology M&A transactions, with target company workers and intellectual property located around the globe. ...