Using M&A Insurance on Tech Deals (Issue 1)

The level of M&A activity in the tech space has proved to be incredibly resilient despite the COVID-19 outbreak. We have partnered with McGill and Partners for a series of notes that explore the key issues tech investors need to consider to maximize the benefits of M&A insurance.

Our first issue focuses on key topics that apply to most technology transactions, including:

1. The importance of properly articulating the valuation methodology applied to the target in order to ensure the policy will pay loss that recognizes the value of the business to the buyer;
2. Key due diligence considerations for identifying intellectual property and cyber liabilities, as well as various ways in which buyers can use M&A insurance to mitigate these risks and;
3. Drafting considerations to bear in mind to ensure that the policy structure aligns with the acquisition agreement and overall commercial requirements of the buyer.

To read the article, click here: Using M&A Insurance on Tech Deals.

Over the coming weeks, subsequent issues in the series will look at the underwriting nuances for structuring M&A insurance on deals in the following sub-sectors: software/SaaS, on-demand, connecttech, fintech, healthtech, artificial intelligence, gaming, educationtech, robotics and semi-conductor/manufacturing.