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M&A Advisory

How much does M&A advisory cost?

Fees typically consist of a fixed retainer and a Success Fee, which is a percentage of the deal value upon closing.

How long does an M&A deal take?

On average, 3 to 9 months, depending on deal complexity, duration of due diligence, and regulatory approvals.

Is Due Diligence (DD) necessary?

Yes, it is essential for the buyer to assess risks and for the seller to rectify issues beforehand.

What is an LOI?

A Letter of Intent is a document expressing the parties' intention to enter into a deal and outlining key terms before the final agreement.

Reading Time

3 min

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M&A (Mergers and Acquisitions) Advisory is a complex service encompassing full legal and strategic support for buying and selling businesses. This is a top-tier corporate service where lawyers act not only as legal advisors but also as project managers. In Georgia, M&A transactions often involve complex negotiations, multi-faceted audits, regulatory approvals, and financial structuring. Whether acquiring a local competitor, entering of a foreign investor, or exiting a business, the success of the process depends on attention to detail and proper planning. M&A advisors represented on the Legal.ge platform help you from deal initiation to successful closing, ensuring you receive maximum value and minimize risks.

What Does M&A Advisory Service Cover?

This service is an "umbrella" covering all stages of the deal:

  • Strategic Planning: Defining goals (buy or sell), identifying target companies, and market research.
  • LOI and Term Sheet: Drafting and negotiating the Letter of Intent and key terms document, creating the deal framework.
  • Due Diligence (DD) Coordination: Managing the legal, financial, and tax audit process. On the sell-side — preparing the Data Room; on the buy-side — identifying risks.
  • Full Documentation: Drafting and refining the SPA (Share Purchase Agreement), SHA (Shareholders' Agreement), and other transaction documents.
  • Regulatory Approvals: Obtaining consent from the Competition Agency, National Bank, or Communications Commission if required.
  • Closing and Post-Integration: Final execution of the deal and legal support for the integration process.

Real-World Scenarios When You Need This Service

M&A Advisory is essential for:

  • Selling a Business (Sell-side): A founder wants to exit. The advisor prepares the company ("Vendor Due Diligence") to make it attractive to buyers and prevent price drops during the audit.
  • Acquiring a Competitor (Buy-side): A company wants to increase market share. The advisor negotiates and investigates the target company's "skeletons in the closet."
  • Merger: Two equal-sized companies combine. Complex corporate structuring and management distribution are required.
  • Management Buyout (MBO): Management buys the company from founders. Financing needs to be raised and conflicts of interest managed.

Georgian Legal Framework and Regulations

The M&A process is regulated by a wide range of laws: the Law on Entrepreneurs (corporate procedures), Civil Code (contract law), Law on Competition (concentration control), Tax Code, and Labor Code. Specific sectors (banks, energy, media) have additional regulations. An M&A advisor ensures the deal complies with all these laws and avoids the risk of being voided.

Service Process

An M&A project with Legal.ge proceeds in stages:

  1. Mandate Signing: Agreeing on goals and fees (often Success Fee).
  2. Preparation: Information gathering and strategy development.
  3. Negotiation: Agreeing on price and terms.
  4. Audit: Conducting due diligence.
  5. Signing and Execution: Completing the transaction.

Why Choose Legal.ge?

An M&A deal can be the most significant event in a company's history. The cost of a mistake is very high. Experts on Legal.ge have experience in both local and international transactions. We offer not just legal services, but a strategic partnership to achieve a successful deal.

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Specialists for this service

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