Summary: This article examines the impact of business transfers on pre-qualification credentials, including the interpretation by various courts on the position of their transfer in case of business transfers through a scheme of arrangement or through a slump sale of an undertaking, and discusses the important factors required to ensure successful transfer of pre-qualification credentials.Continue Reading Impact of Business Transfers on Continuity of Prequalification Credentials
While some Indian corporates have been bold acquirers in big-ticket overseas acquisitions, such transactions are rare, often complex, and risky. Indian acquirers have typically used internal accruals or resorted to overseas debt to finance offshore acquisitions due to regulatory restrictions preventing them from using their stock as consideration for the acquisition. Recent liberalisations in the overseas investment framework suggest that this constraint may be going away. While these regulatory changes may provide additional structuring options for cross-border M&A/ restructuring, decisions of certain tribunals on these (relatively recent) amendments may play spoilsport.Continue Reading Cross-Border Demergers: Navigating muddy waters