Category: Hostile Takeover

Hostile Takeover: Although I have written about document requirements in a merger transaction previously, with the recent booming M&A marketplace, it is worth revisiting. This blog only addresses friendly negotiated transactions achieved through share exchange or merger agreements. It does not address hostile takeover…

Oct202015

Mergers And Acquisitions – The Merger Transaction

ABA Journal’s 10th Annual Blawg 100

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Although I have written about document requirements in a merger transaction previously, with the recent booming M&A marketplace, it is worth revisiting.  This blog only addresses friendly negotiated transactions achieved through share exchange or merger agreements.  It does not address hostile takeovers.  

A merger transaction can be structured as a straight acquisition with the acquiring company remaining in control, a reverse merger or a reverse triangular merger.  In a reverse merger process, the target company shareholders exchange their shares for either new or existing shares of the public company so that at the end of the transaction, the shareholders of the target company own a majority of the acquiring public company and the target company has become a wholly owned subsidiary of the public company.  The public company assumes the operations of the target company.    

A reverse merger is often structured as a reverse triangular merger.  In that case, the acquiring company forms

Aug182015

A Summary Of The 2015 Amendments To The Nevada Revised Statutes

ABA Journal’s 10th Annual Blawg 100

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Although the federal government and FINRA have become increasingly active in matters of corporate governance, the states still remain the primary authority and regulator of corporate law.  The two most popular states for incorporation by business entities remain Nevada and Delaware, both of which offer corporations a degree of flexibility from a menu of reasonable alternatives that can be tailored to the companies’ business sectors, markets and corporate culture. 

In 2015 the Nevada Legislature made several changes to the Nevada Revised Statutes (NRS) which impact public and private companies incorporated in Nevada.  The changes go into effect on October 1, 2015.  I begin this blog by reviewing the benefits offered by Nevada as a choice of state of incorporation and then follow with a summary of the 2015 amendments.

Nevada as a Choice of Corporate Domicile

Together with Delaware, Nevada is one of the most popular state choice for entity domicile.  The