Mergers and Acquisitions Financing

Refers to device and arranging of a financing scheme that enables the acquisition of an underlying asset to be financed.

Such financing can be organised as either a recourse or non-recourse financing scheme. For the former, the financiers will foreclose on the assets of the customer in addition to the acquired assets to be financed. For the latter, the financiers will have to focus on extracting value from the foreclosure of the acquired assets that had been financed.

The mergers and acquisitions financing can be structured and arranged as a direct financing or through an issuance of financial instruments whereby interested investors will provide cash to subscribe to such dedicated financial instruments.