Many Singapore companies and businesses have been in check with the merger and acquisition trail for the previous years starting at the onset of financial crisis in 2007-2008. This business scene is gaining attention and much activity especially with the increasing appetite of investors from other countries and their rising confidence on Singapore’s stable economy.
It can be said the mergers and acquisitions is an important and vital part in the world of corporate finance. In a nutshell, M&A transactions involve bringing separate and sometimes, very distinct companies together to produce a much larger company. If it’s not merging or creating bigger companies, then corporate finance is focused on spinoffs, tracking stocks and etc., to break and/ or dissolve companies. In this case, another company is totally eaten by another.
Why are there Merger and Acquisitions ?
What makes this transaction significant and trivial is its ability to make into the headline news. Business deals in M&A are usually worth millions, even probably hundreds of it or billions, in dollars. The corporate world as a whole is also very interested to know these mergers and acquisitions as they can tell the future of the companies and industry in the coming years.
Every time you flip a newspaper, there is a big chance that an M&A transaction has taken place and is documented on a headline. The most important question, however, is to know how these transactions affect the investors. Accountingguru will help you with your M&A transactions in these ways:
- Discuss the factors that your company should be considering
- Discuss the numerous ways of deal execution
- Discuss the best option for the investor
- Discuss tax consequences and implications
What are the potential challenges?
The world is becoming more globalized through the years. M&A transactions have also evolved to become an important aspect in the value enhancement of a stock. Here are those challenges that you might have to face and which Accountingguru will be happy to help you with:
- M&A access to markets, technologies and organizations. These entities are mostly used for the revaluation of core competencies.
- Well-planned Strategies. M&As are becoming an evolution factor so that economic growth is positively improving beyond the market limitations.
- M&As are very risky. Corporations should be able to secure a deal relative to the most right price and time, in accordance to their strategies.
- Evaluation of investments. Many corporations have growing concerns on investing for future opportunities.
We give advisory in strategy-making, deal-making, taxation, valuation, actuarial services, M&A accounting and others to provide the best service when it comes to merger and acquisitions transactions.
Simply call our office at (+65) 6728 5483 to book for an appointment with us.