We worked closely with the corporate team of a London law firm which advised an AIM listed company on its acquisition of another AIM listed entity. Our work involved:
- analysing the impact on the buyer of the vesting of existing incentives in the target,
- determining the potential tax costs and tax reliefs that may arise; and
- identifying any retention risks in respect of key personnel.
Working with the buyer and their corporate lawyers we agreed on appropriate proposals to be made to target option holders and drafted all incentive-related offer documentation.
We also advised the buyer in determining future incentive policy to lock-in and motivate key employees post-merger.
