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How European Energy Market Changes Threaten M&A?

The easiest step in M&A deals seems to be the first step – you just need to choose the right target. And yet, instead of carefully and methodically planning the search process, many companies still approach deals from a purely opportunistic perspective, which often leads to failure.

M&A as a Special Place in the European Energy Market Changes

The pandemic has not dampened interest in cross-border mergers and acquisitions. Market participants are closing deals in both domestic and international markets, despite the challenges posed by COVID-19 and issues that have forced a rethink of the previously adopted M&A model.

A special place in the European economic space is occupied by the so-called cross-border mergers and acquisitions when companies from different countries combine. However, despite the fact that the process is underway, there are a number of significant barriers that stand in the way (interfering with the implementation) of international transactions within Western Europe, but (perhaps) the biggest obstacle to cross-border mergers and acquisitions in the management of companies, or rather the fear of managers to face with other cultures and national peculiarities of doing business.

The potential for reducing energy intensity due to existing norms and standards (in the construction and manufacturing sectors) through <a href="http://virtual-dataroom.it“>virtual-dataroom.ithas been largely exhausted while bringing the energy-saving process to a new level requires expensive large-scale measures, the consequences, and payback of which are long-term and therefore poorly predictable. These measures include mandatory new regulations for the construction sector, new rules for informing residents about the level of energy consumption in real-time, the introduction of new rules for flexible regulation of the electricity market, and the introduction of incentives to maximize the use of energy from renewable sources.

Among the main directions of practice for European market changes in M&A are:

  1. Support for local and cross-border transactions in the field of mergers and acquisitions under law.
  2. Structuring.
  3. Restructuring of transaction objects.
  4. Joint ventures.
  5. Legal expertise.
  6. Business restructuring.
  7. Private investment.

Are European Energy Market Changes Represent the Key Drivers in the Global Merger and Acquisitions?

Currently, innovative companies are one of the key drivers of the global mergers and acquisitions market, which makes it relevant to identify their features, as well as to study the effectiveness of such transactions. At the same time, modern academic literature lacks unambiguous answers to the questions about which company can be considered innovative, how to determine the level of its innovativeness, what is an innovative merger and acquisition transaction and what features it has. Very little attention is paid to international innovative mergers and acquisitions.

A takeover or merger with another company or the division of a company into several legal entities involves many legal and tax issues. In this regard, the market provides comprehensive legal advice in the preparation of mergers and acquisitions both domestically and cross-border, legal audits (due diligence), takeover proposals, research, and analysis of legal and tax obligations arising from national legal regulation, as well as the development of comprehensive documentation necessary to implement the corresponding changes. The market specializes in cross-border mergers of companies operating in the region.

Experts of European energy market changes have a wide experience of successful transactions related to:

  • With funding.
  • With mergers and acquisitions.
  • With business restructuring for companies in the financial and non-financial sectors (real estate, mining and metallurgical industry, retail, consumer goods production, transport, etc.)