Mergers & Acquisitions (”M&A”) takes place for many strategic business reasons, but commonly for any business combination are economic reasons at their core. Successful deals are direct results of a good strategy. Identifying all possible tax exposures associated with the deals is crucial, especially for the cross-border deals where different tax and corporate regulation systems are maintained. M&A process can be intimidating for both buyer and seller. Thus, there are many advantages to have experienced external resources and advisors involved in the whole process which increases your odds of a successful M&A deal.
Grant Thornton Vietnam understand that the Corporate Buyer and the Private Equity Buyer have different goals for M&A deal, e.g. Corporate Buyer’s long-term plans for entering new markets, diversifying products to realize synergies compared with Private Equity Buyer’s strategy of “buy, improve and sell” within a specific period.
Accordingly, we have designed services following a few concrete steps for clients of both buyers and sellers to identify tax risks as well as to optimize tax efficiency throughout the whole process of the M&A deal.
Approaches and Services:
Your business:
- Access opportunities
- Execute transaction
- Accelerate value
Grant Thornton’s solution:
Buy Side:
- Pre-investment advisory service;
- Tax Due Diligence;
- Advisory on deal structuring from tax perspective;
- Review on tax terms in the Share Purchase Agreement.
CORPORATE BUYER
- Licensing and post-licensing services;
- Assistance in implementation to mitigate tax risks (from our Due Diligence report);
- Tax compliance/ Tax health check service;
- In the event of liquidating of the target, assistance in transfer of assets and employees.
PE BUYER
- Tax health check service for the target, and recommendation for the target to improve on tax positions.
Sell Side
- Tax health check service;
- Assistance in implementation to mitigate tax risks;
- Tax audit assistance (if any);
- Advisory on strategy for the deal.
CORPORATE BUYER
- Assistance in Capital Gains Tax declaration
