Amy Kennedy Pens Article on U.K. M&A Trends for Lexis Practical Guidance

November 22, 2021

Reading Time : 1 min

Contact:

Jacinta O'Shea-Ramdeholl

Director of Communications

Scott Wasserman

Senior Media Relations Manager

LexisNexis Practical Guidance has published “Acquisition Finance Trends (UK),” an article written by Akin Gump corporate partner Amy Kennedy. The article discusses acquisitions and related transactions trends as governed by English law; comparison in approach to U.S. markets; and addressing certain key commercial and documentation developments.

Among the topics:

Comparing U.K./ U.S. approach to acquisitions – “The United Kingdom (UK) approach to private acquisition financing differs to the U.S. market in that parties will typically satisfy (or have solely within the offeror’s control) all material conditions to the availability of financing at the time of signing the acquisition agreement. This is commonly known in deals documented under English law as a “certain funds” transaction.”

Inclusion of sanctions and anti-bribery or corruption compliance – “It has been standard to include specific provisions concerning sanctions and anti-bribery or corruption in facilities agreements, although the provisions do not naturally fall within those that are necessarily within the control of the borrower/offeror. It is now customary for certain fundsstyle transactions to, as a minimum, find these provisions included indirectly by way of the lender’s obligation to fund during the certain funds period being made subject to illegality, or otherwise by way of an “unlawfulness” major event of default.”

Impact of COVID-19 pandemic on the European leveraged loan and high yield markets – “[T]hrough 2021 we have seen a resurgence of the types of debt re-profiling experienced after the 2008 financial crisis (e.g., covenant resets and maturity extensions), and ultimately a continuing number of credits that require additional liquidity. The wave of full refinancings or restructurings has been slower to hit than expected – in a large part due to the level of short to medium-term amendments and waivers, as described above – but we expect these to hit through 2022.”

To read the full article, click here.

Share This Insight

People Mentioned in This News

Related Services, Sectors, and Regions

© 2024 Akin Gump Strauss Hauer & Feld LLP. All rights reserved. Attorney advertising. This document is distributed for informational use only; it does not constitute legal advice and should not be used as such. Prior results do not guarantee a similar outcome. Akin is the practicing name of Akin Gump LLP, a New York limited liability partnership authorized and regulated by the Solicitors Regulation Authority under number 267321. A list of the partners is available for inspection at Eighth Floor, Ten Bishops Square, London E1 6EG. For more information about Akin Gump LLP, Akin Gump Strauss Hauer & Feld LLP and other associated entities under which the Akin Gump network operates worldwide, please see our Legal Notices page.