Due diligence should be conducted to examine/investigate a potential target for merger, acquisition, privatisation or similar corporate finance transaction normally by a buyer. This is in order to reduce the number of failed mergers and acquisitions or other business transactions.
In the due diligence investigation process, the relevant areas of concern may include the financial, legal, labor, tax, IT, environment and market/commercial situation of a target company. Other areas include intellectual property, real and personal property, insurance and liability coverage, debt instrument review, employee benefits and labor matters, immigration, and international transactions.
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NOTICE: The material contained herein is in the nature of general comment and information ONLY and neither purports, nor is intended, to be advising on any particular matter. Readers should not act or rely upon any matter or information contained in or implied by the publication without taking appropriate professional advice.