Voices

A potential doubling of the capital gains tax upon a sale has owners contemplating exits, writes Beatrice Mitchell, co-founder and managing director, Sperry, Mitchell & Co.

“Liquidity is available for the right borrowers,” says Churchill's Randy Schwimmer, who is the founder and publisher of The Lead Left. Lenders aren’t adventurous with hold levels, but pricing has eased, and leverage is up, he reports.

Private equity professionals are adapting new tactics to get ahead in this competitive distressed environment including: new valuation calculations, strategies for due diligence, mitigating emerging risks and tax considerations.

Teladoc’s $18.5 billion acquisition of Livongo, Thirty Madison's raising $47 million from partners including Johnson & Johnson and Humana's investing $100 million in Heal are among recent deals.

Earnouts, which involve tying some portion of deal consideration to post-closing performance, are taking on a new level of importance when making deals during the pandemic.

Hackers are preying on isolated work forces during a time when IT resources are stretched and many staff are furloughed.

Market size and product quality are important factors, but private equity firms must also gauge a portfolio company’s character and ability to withstand economic turbulence.

Several corporations are looking to improve their financial situations and will likely sell non-core units

Here's an M&A buyer's guide to: independent valuations, financial due diligence, tax planning, on-the-ground support and post-acquisition accounting.