By John Stanley
1. In the UK more due diligence is done upfront than in Ireland, well ahead of creating the heads of terms agreement. It’s also regarded as a confirmatory process rather than looking for issues that could stop the process. Irish buyers need to be aware of that, advises M&A specialist Brian Murphy, a Corporate Finance Partner, DC Corporate.
2. Brian also recommends getting lawyers involved at an early stage because, although it is very similar to Ireland’s, it is still a different legal system.
3. There is merit in going the adviser-to-adviser route. It’s an approach that advocates say enables a buyer to be taken more seriously, more quickly. It is assumed that the adviser will have done his or her homework and have a good grasp of their client’s seriousness of intent and their ability to execute a deal.
4. Make direct approaches to potential targets you are genuinely interested in, initially through your advisers, advises Alan Bruce MD of Anderco, a Cork-based company currently acquiring companies in the UK. “I’d advise picking up the phone and talking directly; get an appointment and have a discussion.”
5 Remember that the UK is very open to discussing positions and tends to be transparent. It is pretty much ‘what it says on the tin’ – direct, proper and very English.
Image by 'tmy' on Flickr Creative Commons.