Due diligence, information and disclosure in M&A transactions in the USA

What due diligence is necessary for buyers?

Diligence is not mandated, but buyers typically conduct extensive due diligence before executing a definitive agreement. Diligence typically covers business, accounting, tax and legal review.

The depth and breadth of diligence can vary greatly among buyers and transactions and depends on numerous factors, including factors related to a buyer’s appetite for risk, timing and costs.

Information

What information is available to buyers?

The information available to the buyer typically depends on whether the seller is a private or public company.