In the ever-evolving landscape of corporate transactions, general counsels (GCs) face a daunting task of navigating through intricate mergers and acquisitions (M&A). As the corporate world grapples with economic shifts and emerging technologies, the role of GCs has become more pivotal than ever. A new series, presented by Mercator, aims to equip GCs with a comprehensive guide through the stages of a merger, starting with the pre-merger phase.

The importance of robust data cannot be overstressed in the initial stages of a merger. Kariem Abdellatif, head of Mercator, emphasizes the necessity of understanding the full portfolio of companies involved. "Knowing what information we need, where it's stored, who maintains it, and verifying its accuracy is crucial," Abdellatif explains. Tools like Mercator’s Entica platform aid GCs in creating detailed organizational charts and managing data to ensure informed decision-making and effective integration.

GCs must also determine their specific role early in the transaction process. Whether it's engaging outside counsel, managing legal teams, or being the primary contact for the merger, understanding one’s position is vital for smooth operations. Josh Hollingsworth, an M&A partner at Barnes & Thornburg LLP, highlights the importance of clarity in role definition to prevent misunderstandings and ensure streamlined operations.

Furthermore, the psychological aspect of organizational management is crucial. GCs need to consider the impact of the merger on various stakeholders within the company, from IT to HR. "Navigating the human element — understanding and managing people’s reactions to the merger is key," says Hollingsworth. He notes that resistance can often surface internally, and being proactive in addressing these concerns is essential.

Technology plays a significant role in modern mergers. Platforms like Entica not only manage data but also ensure that sensitive information is accessible only to key stakeholders. This controlled access helps in maintaining confidentiality, a critical element during the pre-merger phase. Additionally, staying compliant and organized can significantly influence the negotiation dynamics and potentially ease internal resistance.

Legal considerations are also paramount. GCs must navigate the complexities of confidentiality, insider trading laws for publicly traded companies, and antitrust laws. The pre-merger phase requires meticulous attention to legal details to avoid potential pitfalls that could derail the transaction.

The series will continue to explore the negotiation and closing stages of mergers, providing GCs with further insights into executing successful corporate transactions. For those interested in deepening their understanding, a companion webinar featuring expert speakers is available on-demand, offering CLE credit.

Register Here! 1 hour of CLE credit is available. Stay tuned for more practical tips and insights to guide GCs through the intricate process of mergers and acquisitions.