In a reverse subsidiary merger, the catalyst subsidiary: a. Disappears b. Has its outstanding shares converted into shar
Posted: Sun Jul 03, 2022 4:27 pm
In a reverse subsidiary merger, the catalystsubsidiary:
a. Disappears
b. Has its outstanding shares converted into shares of thetarget company
c. Is initially a subsidiary of the buyer
d. All of the above
Earn-out payments:
a. Are based on the financial performanceof the target company between the signing of the definitiveacquisition agreement and the closing
b. Are often based on the achievement of certain milestonesor financial targets after closing
c. Are paid only to those former shareholders of the targetcompany who stay on as employees after the closing
d. None of the above
MAE carve-outs:
a. Are commonplace in acquisitions ofpublicly traded companies and have become more commonplace over theyears in acquisitions of privately held companies
b. Are typically requested by aggressive buyers
c. Don’t have to be negotiated because their wording hasbecome standard
d. None of the above
a. Disappears
b. Has its outstanding shares converted into shares of thetarget company
c. Is initially a subsidiary of the buyer
d. All of the above
Earn-out payments:
a. Are based on the financial performanceof the target company between the signing of the definitiveacquisition agreement and the closing
b. Are often based on the achievement of certain milestonesor financial targets after closing
c. Are paid only to those former shareholders of the targetcompany who stay on as employees after the closing
d. None of the above
MAE carve-outs:
a. Are commonplace in acquisitions ofpublicly traded companies and have become more commonplace over theyears in acquisitions of privately held companies
b. Are typically requested by aggressive buyers
c. Don’t have to be negotiated because their wording hasbecome standard
d. None of the above