A financial advisor controls the transaction and coordinates the work of the team of lawyers, auditors and other consultants. The financial adviser seeks to achieve the most favorable conditions for their client in the negotiation process and the formation of the transaction price.
Very often financial advisors are companies specialized in exclusively mergers and acquisitions (M&A). The range of services offered by these companies include:
Financial consulting: analytical studies of the industry and competitive environment; development and coordination with the client of merger or acquisition scenarios; planning the schemes of financing M&A transactions; formation of the concept of holding development.
Organization of mergers and acquisitions: the search for potential buyers/sellers; negotiating and approving the terms of a merger or acquisition; implementation of acquisition by buying the shares or debentures of the acquisition target; structuring of M&A transaction.
Protection against hostile takeovers: (hostile takeover): consulting, development and implementation of ways and means to protect assets from a hostile takeover.
Determining the fair value of the company: the determination of the company price satisfying all parties.
Financing of M&A transactions: if the buyer is short of funds, a consulting company can take over the function of seeking the sources of funding and selecting the best financial mechanism.