Print
ABOUT
Reps and Warranties Insurance
Post-acquisition disputes following M&A deals can be complicated, especially if the target company does not immediately perform as expected. The resulting representations and warranties insurance claims can range from issues in one area to a complex myriad of intertwined representations requiring review.
HIRE US
At MDD, we have the necessary blend of forensic accounting and business valuation knowledge to provide clients with thorough analyses of the impact of particular alleged breaches of representations and warranties on the purchase price in an M&A transaction.
When clients ask for our help in representations and warranties matters, we will perform the appropriate analysis based on the issues at hand, which may include:
- Review the claim notice, assist in identifying key information, and layout the required review process.
- For cases where only one representation may be at issue, focus our review and analysis in that area (such as reviewing inventory obsolescence).
- Review the share purchase agreement to understand all components of the purchase price and the key representations at issue.
- In cases where financial statements are alleged not to comply with GAAP or IFRS, we will comment on the accounting policies used by the acquired firm.
- Review the documents, financial analyses, or valuation models used to set the purchase price to recast the target company’s financial results to correct any identified breaches of representations and warranties.
- Review information related to post-acquisition net working capital disputes and integrate this information into the insurance claim evaluation.
- Review the “data room” to determine the extent to which the acquirer had prior knowledge of the alleged breaches.
OUR TEAM
TEAM INFORMATION
Contact our team members using the details below. These contacts simply supplement
any MDD contacts you may already use to help find the resources you need.
Experience
Experience
Contact one of our experts below or filter experience based on region.
ARTICLES
RELEVANT ARTICLES
Our experts are extremely knowledgeable about thier subject areas and often write educational material and commentary on topical issues they come across.
Calculating Damages in Representations and Warranties Cases
When done right, mergers and acquisitions (“M&A”) can be a great way for companies to scale their businesses and create value through synergies, to enter new markets or to gain access to transformative new technology. When done poorly, however, M&A...
